Nissan to Halt Production at Oppama Plant by March 2028 as Part of Global Restructuring

According to foreign media reports, on July 15, Nissan Motor Company announced that as part of its global restructuring plan to reduce production capacity, its Oppama plant in Japan will cease vehicle production by March 2028. Currently planned and future models to be produced at the Oppama plant will be shifted to Nissan's Kyushu plant located in Fukuoka Prefecture in western Japan. Nissan stated that closing the Oppama plant is 'the most effective solution in terms of capacity, cost efficiency, and investment potential' and added that it will evaluate 'various feasible options for the future use' of the Oppama plant, located at Yokosuka Port south of Tokyo, to determine the best path for future development. Related costs will be disclosed in the first quarter financial report. Nissan also mentioned that 'other facilities and functions in the region - such as the Nissan Research Center, Grandrive crash test facility, and Oppama Wharf - will not be affected and will continue to operate as usual.' Nissan's CEO, Ivan Espinosa, stated in the announcement, 'Today, Nissan made a difficult but necessary decision. It is not easy for me personally or for the company, but I believe this is a key step to overcoming current challenges and building a sustainable future for Nissan.' Previously, it was reported that Nissan was in talks with Foxconn from Taiwan to allow the company to use the Oppama plant to produce electric vehicles to prevent its closure. However, this collaboration ultimately did not materialize. The Oppama plant began production in 1961 and currently employs about 2,400 people, being one of the first large automobile factories in Japan, symbolizing Nissan's and Japan's global automotive ambitions. CEO Ivan Espinosa had previously announced a comprehensive restructuring plan aimed at turning around the troubled automaker, including reducing the global workforce by about 15%. The third-largest automaker in Japan is also committed to cutting its global production capacity from 3.5 million to 2.5 million units and consolidating its production bases from 17 to 10 in response to declining sales and increasing losses.