Struggling Nissan to shut down Oppama plant
YOKOHAMA, Japan — Nissan Motor Co. said Tuesday that it will end vehicle production at its Oppama plant in Yokosuka, Kanagawa Prefecture, south of Tokyo, at the end of fiscal year 2027.
In addition, Nissan President Ivan Espinosa told a press conference the same day that vehicle production will also be terminated at the Shonan plant of subsidiary Nissan Shatai Co. in the city of Hiratsuka, Kanagawa.
Production at the Oppama plant will be transferred to Nissan Motor Kyushu Co. in Fukuoka Prefecture, southwestern Japan, as part of the struggling Japanese automaker’s review of production bases for its restructuring.
The Oppama plant is one of Nissan’s main output hubs. Nearby facilities such as a research center and a crash test ground will continue operations.
READ: Warning lights flash at Nissan after flagging monster loss
“Nissan made a tough but necessary decision,” Espinosa said of the Oppama plant’s end of production. “It’s a vital step toward…building a sustainable future.”
The company will explore ways to utilize the Oppama plant after output ends.
Rationalization
Nissan said in May that it plans to reduce the number of vehicle plants across the world from 17 to 10 by fiscal 2027. Many had been focusing on whether the automaker would close plants in its birthplace of Kanagawa.
READ: Nissan to shut 7 plants, shed 20,000 jobs on huge loss
The Oppama plant employs 2,400 people and has an output capacity of 240,000 units per year. It manufactures passenger cars such as the Note subcompact, but has been struggling with lower plant operation rates in recent years.
The firm has faced management difficulties due to sluggish sales in the United States and China, reflecting delays in releasing new vehicle models.
It incurred a net loss of about 670 billion yen in fiscal 2024.
