Nissan, facing difficulties, could close two of its five domestic auto plants, including the prestigious Oppama factory in Yokohama, Kanagawa Prefecture, southwestern Tokyo, as part of a comprehensive restructuring plan.
It is reported that in addition to planning to renovate the Oppama factory in Yokohama, the company has also targeted the Shonan factory under Nissan Chateau, a subsidiary in Hiratsuka City, Kanagawa Prefecture.
Nissan's last shuttered its domestic factory in 2001, when the Tama plant in Musashino, Tokyo was closed as part of a massive layoff plan implemented by then-president Carlos Ghosn.
Located next to the Oppama factory is a test drive runway. For years, the factory has applied cutting-edge technology to various models under Nissan, such as Leaf electric vehicles.
The factory was put into operation in 1961. As of October 2024, its total number of employees was approximately 3,900.
Sources also revealed that the company is also considering plans to close five overseas factories.
Production at the Argentine plant will be transferred to Mexico, while Nissan has announced plans to sell its shares in the Indian joint venture to partner Renault.
In addition to withdrawing from the Argentina and Indian markets, Nissan is also considering closing factories in other regions, and Mexico is one of the possible options.
The automaker issued a statement denied the closures in media reports, pointing out that the reports were based on speculation rather than the company's official announcement.
On May 13, Nissan Motor Company announced that its net loss for the fiscal year ended March was as high as 670.8 billion yen (about 4.6 billion US dollars), ranking third largest in the company's history.
The reconstruction plan released during the same period announced that by the fiscal year 2027, seven factories will be closed and the global employee population will be reduced by 20,000.
