Nissan Motor plans to streamline its global automotive lineup by eliminating underperforming models and deploying AI-driven assisted driving technologies on 90% of its fleet in the long term, the automaker announced on Tuesday.
These changes, detailed in a long-term strategy statement following last year’s restructuring plan presented by planning director Ivan Espinosa, aim to revitalize the fourth largest Japanese automaker after years of turmoil.
The group specified that it will reduce its number of models from 56 to 45, with the goal of achieving annual sales of 1 million vehicles in the United States and China by the fiscal year 2030, while increasing its annual sales volume in Japan to 550,000 units by this deadline.
Mr. Espinosa also unveiled a hybrid version of the Rogue SUV – known as the X-Trail in Japan – as well as an electric variant of the Juke model.
“This is how our portfolio strategy comes to life, anchored in profitability and built around a more focused and stronger range,” stated Mr. Espinosa.
Nissan will also expand the engine options for its models and invest in growth, he added.
RECOVERY PROGRESS
Nissan indicated that an update on the progress of last year’s restructuring plan will be provided when the annual financial results are published next month, before announcing further strategic guidance later in the year.
As part of Mr. Espinosa’s extensive recovery plan, Nissan is reducing its global industrial footprint and cutting its workforce by 15%.
Mr. Espinosa believes that it is time for the automaker, which lags behind Toyota, Honda, and Suzuki in terms of volume, to refine its long-term vision to guide its actions as it approaches the midway point of its recovery plan.
“We believe that the company is likely to present relatively constructive prospects, which could be perceived relatively positively in the short term,” noted analysts from Bernstein.
“However, given the current macroeconomic uncertainty, visibility remains limited on Nissan’s ability to deliver sustainable revenue growth and achieve a true turnaround.”
Despite the conflict in the Middle East, Nissan is determined to increase its sales in the region, where it aims to benefit from growing market and strong performance, said Guillaume Cartier, performance director, to journalists.
The automaker has started shipping its vehicles to ports in Sri Lanka, Singapore, and China before exporting them to Fujairah in the United Arab Emirates and Jeddah in Saudi Arabia for further transport.
“We still believe that the Middle East will grow,” affirmed Mr. Cartier, stating that Nissan is not changing its strategy.
Nissan announced that it will make exports a strategic pillar in China, by expanding its electric N7 sedan to Latin America and the ASEAN region, as well as its Frontier Pro pickup to the Middle East, in addition to these markets.
The company also aims to produce more vehicles in the United States by increasing its local production rate to 80% in the long term, up from around 60% currently, and to rejuvenate its luxury brand Infiniti by introducing new models.
THE MANUFACTURER PLANS A COMPACT SERIES IN JAPAN
In Japan, the automaker will launch a range of compact cars starting from the fiscal year 2028, it specified. It will strive to deploy end-to-end autonomous driving capabilities on its new Elgrand minivan, set to be launched in Japan this summer, by the end of the fiscal year 2027.
Nissan has partnered for the development of robotaxis with Uber Technologies and British startup Wayve, with the goal of launching a pilot program in Tokyo by the end of 2026.
Nissan’s stock closed the session up 1.4%, underperforming the 2.4% rise of the Nikkei benchmark index.
The company is set to release its annual financial results on May 13. In February, it significantly revised its annual loss forecast and posted a surprise profit in the third quarter, indicating that its recovery appears to be gaining momentum.
