Nissan has announced a new strategy designed to reshape and strengthen its Japanese operations and their role in the company's future growth and global competitiveness. The automaker said it plans to expand its product offering in Japan, broaden its presence across key market segments, and attract new and younger customers. It also aims to enhance the cost, quality and manufacturing competitiveness of products made in Japan for domestic and global markets.
Nissan said in a statement: "Together, a broader product offering and industrial transformation will enable Nissan to grow in Japan, expand exports and strengthen Japan's contribution to the company's long-term success. A stronger export base will also provide greater resilience by diversifying demand and reducing exposure to market-specific and foreign exchange volatility."
Nissan said it plans to continue to expand customer choice across key segments, following the recent launch of the new Roox, Leaf, Kicks and Elgrand models, to cater to a broader range of customer needs in Japan, improve market coverage and create greater appeal for existing, new and younger customers.
"Building on this momentum, Skyline, Patrol and a new global B-segment car will further strengthen Nissan's presence across the market, expanding customer choice and enhancing the breadth of the lineup across Kei cars, electrified vehicles, SUVs, minivans, sports cars and flagship nameplates," the company added.
Nissan said it will continue to strengthen its Alliance partnerships with Renault, Mitsubishi and also Honda, by strengthening coordination across product planning, engineering and technology deployment. Greater use of common technologies, architectures and product families is expected to accelerate development, improve efficiency and support a sustained product "cadence."
GlobalData analyst Justin Cox notes that the partnership still delivers significant benefits to both OEMs. "The Alliance was in danger of being completely fractured following the turmoil surrounding Carlos Ghosn's dramatic departure," he says. "But the two companies were heavily intertwined and integrated in areas of engineering and also parts procurement. The benefits of the ties developed over more than two decades were difficult to walk away from, so they have continued to work together."
Nissan plans to restructure its manufacturing base, to help enhance cost competitiveness, quality and production efficiency, focusing on three priority areas: aligning manufacturing around vehicle families and site expertise, building long-term manufacturing resilience, and maximizing plant utilization to create "a more competitive and efficient industrial foundation for future growth." The company aims to produce around one million vehicles annually in Japan.
By strengthening the competitiveness of vehicles made in Japan for both domestic and global markets, Nissan aims to broaden its market coverage, expand exports and strengthen supply chain resilience, resulting in "a more sustainable manufacturing base capable of supporting long-term growth."
The Tochigi Plant will serve as Nissan's High Tech Hub for sports cars, electrified vehicles and minivans for domestic sale and export. Plant 1 will continue to be Nissan's dedicated sports car production hub, producing models such as the Fairlady Z and Skyline. Plant 2 will focus on electrified vehicles and minivans, producing the Leaf and Ariya alongside Nissan's minivan lineup. In the medium term, production of the Serena will be transferred from Nissan Motor Kyushu, while production of the Elgrand will be transferred from Nissan Shatai Kyushu.
The Kyushu Plant will serve as Nissan's Global Model Hub for B- and C-segment vehicles for domestic sale and export, building on its existing large-scale and production efficiency. Plant 1 will focus on global B-segment vehicles, including the Note, Note Aura and Kicks, following their transfer from Oppama. A new global B-segment vehicle will also be added to the lineup. Plant 2 will focus on global C-segment vehicles, producing the Rogue and X‑Trail models
The Shatai Kyushu plant will focus on producing body-on-frame models including the Patrol, Armada, QX80 and Caravan, for global markets.
Nissan chief operating officer (COO), Teiji Hirata, said in a statement: "Japan is central to Nissan's future growth and global competitiveness. To make products in Japan that can succeed at home and around the world, we must achieve globally competitive cost, quality and timing. By focusing each facility on its strengths and organizing production around vehicle families, we will build a more efficient manufacturing base that supports domestic growth and increased exports."
"Nissan strengthens its Japanese production strategy" was originally created and published by Just Auto, a GlobalData owned brand.