Nissan, the Japanese automaker, has decided to increase its planned job cuts by 11,000 as part of its recovery strategy known as Re-Nissan. This brings the total job cuts to 20,000 by the year 2027.
The company has labeled the upcoming fiscal year (FY) 2024 as “challenging,” citing “increased variable costs worsened by uncertain environments” as a reason for these further reductions. According to a press release, Nissan is aiming to save roughly $3.4 billion (500 billion yen) in 2024. This strategy will not only involve cutting positions but also reducing the number of its factories from 17 to 10 by 2027.
Initially, back in November 2024, Nissan had announced a plan to eliminate 9,000 jobs globally. During that time, the then-president and CEO, Uchida, volunteered to forfeit half of his monthly salary, with other executive committee members also agreeing to salary cuts. Uchida eventually resigned in April 2025 following a proposal for a merger between Nissan and Honda.
In 2024, Nissan reported global sales of 33.46 million units, which unfortunately resulted in a net loss of over $4.5 billion (670 billion yen). The overall automotive market also faced declines in sales worldwide, including in China. As part of its recovery efforts, Nissan intends to shift its focus towards electric vehicles (EVs).
The company’s outlook for fiscal year 2025 currently remains unclear as it navigates the effects of tariffs imposed during President Donald Trump’s administration. Nissan indicated it is “prioritizing US-built products,” while also optimizing regional production capacities and reallocating production impacted by tariffs.
The Japanese Prime Minister, who met with Trump in D.C. in February, expressed his intention to advocate for the removal of US tariffs. During a segment on Fuji TV’s Morning Program, he described trade relations as being “a gradual controversy,” while noting that his and Trump’s relationship seemed “surprisingly good.”
