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Nissan to cut 9,000 jobs, cut production capacity to counter sales slump


 Japanese carmaker Nissan announced Thursday that it will cut 9,000 jobs worldwide and reduce production capacity, without specifying a timetable, to adapt to the clear decline in its sales.

The company has been affected by the decline in global car sales, and its sales fell significantly between July and September, according to quarterly results that were much worse than expected, prompting it to consider significantly reducing its financial expenses.

The group said in a statement that "in the face of the seriousness of the situation, Nissan is taking urgent measures to revive its performance and create a more responsive and resilient company, able to quickly adapt to market developments."

Nissan suffered an unexpected net loss of 9.3 billion yen (56 million euros) in the third quarter of this year (July-September).

The company confirmed that it will reduce its global production capacity by 20 percent and reduce its global workforce by about 9,000 jobs "while implementing various measures to reduce" its costs and "prioritizing investment in research."

It will also reduce its stake in Japan's Mitsubishi Motors to 24 percent, down from 34 percent currently.

Nissan's sales have been particularly weak in the United States, a key market for the company. Nissan sold just 212,000 vehicles there between July and September, down 2.3 percent year-on-year.

The group's CEO Makoto Uchida said the automaker wants to "rebuild its brand."

For development, the group plans to launch new electric vehicles in China and the United States, reducing the production time for new models to 30 months.

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