Nissan is considering closing several factories in Japan and overseas as part of a major cost-cutting plan. The company may shut its historic Oppama and Shonan plants in Japan, leaving only three active car assembly factories in the country. It is also reviewing closures in South Africa, India, Argentina, and possibly two factories in Mexico.
This move follows Nissan’s announcement to shrink global operations. The automaker plans to cut its workforce by 15% and reduce its production plants from 17 to 10. New CEO Ivan Espinosa is leading the strategy shift, which marks a clear change from the company’s previous focus on expansion under former CEO Makoto Uchida.
The Oppama plant holds special importance in Nissan’s history. It began production in 1961 and employed nearly 3,900 people. It was also the first plant to produce the Leaf, the world’s first widely available electric vehicle. The Shonan plant, which makes commercial vans, has a capacity of 150,000 units and employs around 1,200 workers.
Nissan says reports about specific closures are still speculative. However, it confirmed plans to centralize production of its Frontier and Navara pickups at its Civac plant in Mexico. The company also ended its joint venture in India, selling its stake to its partner Renault in March.
This would be Nissan’s first domestic plant closure in over 20 years. If the plan goes forward, three key Japanese factories will stay open: Tochigi, Nissan Motor Kyushu, and Nissan Shatai Kyushu. Together, these plants will handle local demand and continue exports.
