Nissan to reduce workforce by 20,000 while increasing profitability

Nissan Motor Co. Ltd. unveiled its new recovery plan called “Re:Nissan” on May 13, 2025, announcing that the company will undergo a comprehensive restructuring process. Nissan President and CEO Ivan Espinosa stated that the plan aims to make the company leaner, more resilient and quicker to adapt to the market.

Drawing attention to the company's weak performance and rising costs in the fiscal year 2024, Espinosa noted, "We need to achieve profitability in more sustainable ways, not just through volume. Re:Nissan sets out the concrete steps we need to take right now. All our employees are committed to implementing this plan with the goal of returning to profitability by 2026."

Under the plan, Nissan aims to save a total of JPY 500 billion in fixed and variable costs by 2024. In this direction, the number of production facilities will be reduced from 17 to 10, and a global reduction of 20 thousand people in the workforce is planned. While canceling the planned battery factory project in Kyushu, the company also aims to reduce engineering costs by shortening development processes.

Nissan will significantly simplify component and platform complexity, reducing the current 13 platforms to 7 by 2035. Development time will be reduced to 37 months for the first vehicles and 30 months for other models in the same family. The next generation Skyline and INFINITI SUV models will be developed in this context.

Nissan is also redefining its market and product strategy. The US, Japan, China, Europe, the Middle East and Mexico will be the key markets on which the company will focus. In China, the focus will be on new energy vehicles, while in Europe the emphasis will be on B- and C-segment SUVs. Mexico will continue to be positioned as an export base.

The company will continue its joint projects with Renault and Mitsubishi, and will continue to cooperate with Honda in the fields of vehicle intelligence and electrification.

Espinosa concluded his statement with the following words: "Our ambitions are big, but our plan is clear. Re:Nissan will reshape Nissan's future and lead us to a lasting recovery."