Nissan has made plans for a major round of cost-cutting ahead of a meeting on Monday. Renault Nissan CEO Carlos Ghosn is due to meet employees in Japan to address the global collapse in the market for new cars, and what Nissan must do to respond.
Virtually everything is under consideration for the knife, several sources indicate, except for primary product development programs and Nissan’s electric vehicle plans, in which Ghosn takes a particular interest.
Like other global manufacturers, Nissan has been slammed by the slump in the US, its biggest international market. But it doesn’t help that the company’s home market also is suffering the worst drop in new car sales for 35 years. Nissan’s monthly domestic sales fell 31 per cent to 30,786 vehicles in January.
It’s almost 10 years since the Renault/Nissan Alliance was formed, with Renault taking a controlling stake in its Japanese rival, and putting Ghosn to work managing a turnaround. But after showing strong signs of success, earlier in the decade, Nissan has been suffering a number of problems lately.