Nissan will lay off 9 thousand employees worldwide

The automaker will also sell part of its stake in Mitsubishi Motors Corp., which currently stands at 34%. The roughly 10% that Nissan plans to offer through the Tokyo Stock Exchange was worth about 68.6 billion Japanese yen ($453 million) at the close of trading on Nov. 7, the agency said.

Nissan’s problems are due to declining sales of its cars and fierce competition from Chinese automakers and Elon Musk’s Tesla, Bloomberg writes. In November, the company published a financial report: the automaker’s net profit in the first half of fiscal 2024 (ending in March 2025) decreased by 94%, to 19.2 billion yen (127 million dollars), compared to the same period in 2023.

The Japanese automaker also expects operating profit for this fiscal year to fall from 500 billion yen ($3.3 billion) to 150 billion yen ($990 million), down 70% from its previous forecast, the company added. agency.

Nissan is not the only automaker experiencing business difficulties. Thus, at the end of October, the head of the Volkswagen Works Council, Daniela Cavallo, stated that the German company plans to close at least three factories in Germany and lay off “tens of thousands” of employees due to the drop in demand from the manufacturer cars. in China and Europe.