The Japanese car manufacturer Nissan announced that it is open to sharing its factories around the world with the Chinese state company Dongfeng as part of the reorganization of its business.
A Japanese company employing over 133 thousand worldwide. people do not exclude the inclusion of the Dongfeng brand into the “global Nissan production ecosystem”.
This week, Nissan, who has been struggling with difficulties for a long time, announced a dismissal of 11,000. employees and closing seven factories, but did not give exactly where the cuts would occur.
Nissan is planning huge cutsRadu Bercan / Shutterstock
In total, the reduction of full -time jobs will cover 15 percent Nissan's global workforce, and the company plans to reduce production in the world by one -fifth to reduce costs.
Nissan has been cooperating with the Beijing company Dongfeng for over 20 years, and now both manufacturers have been producing cars in the Chinese city of Wuhan together.
Nissan's financial problems
The Nissan brands have difficulty in the Chinese market, which is the largest in the world, due to the sharp competition, leading to a decrease in prices.
The company is also struggling with frequent changes in the board and unsuccessful conversations about a merger with a larger rival, Honda. In February, negotiations between these companies failed because it was not possible to reach an agreement on a fusion worth many billion dollars.
After the failure of the talks, the then director of Makoto Uchida was replaced by Ivan Espinosa, who was previously the planning director and the head of the Nissan motor sports department.
This week, Nissan announced an annual loss of 670 billion yen ($ 4.6 billion; $ 3.4 billion). The company's difficult situation is further aggravated by the duties imposed before the president USA Donald Trump.
Source of the main photo: Shutterstock