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Nissan Faces $4.5 B Loss, Slashes 20,000 Jobs and 7 Factories

Yokohama, Japan

May 14, 2025 (Updated: February 11, 2026) 0 Negative I own a car

TheWkly Analysis

Yokohama, Japan: Nissan reported a sizeable annual loss of about $4.5 billion, citing massive debt, rising competition, and a botched merger attempt with Honda. To stem losses, the company will cut 15% of its global workforce—around 20,000 positions—and consolidate production sites from 17 to 10 worldwide. Management said it’s necessary to trim underperforming lines and redirect resources toward electric vehicle (EV) development. Despite a brief revenue bump post-pandemic, Nissan’s recovery never fully materialized, and CEO Ivan Espinosa withheld profit forecasts for next year. While the stock rose 3% on optimism that tough measures could pave the way for a leaner Nissan, employees and affected communities face uncertainty over plant closures and layoffs.

Multiple perspectives analyzed from 0 sources

What this means for you:

•	If you’re in the market for a Nissan vehicle, keep an eye out for dealership incentives or clearance pricing on discontinued models.
•	EV enthusiasts might see new or improved electrified offerings from Nissan sooner, as the company doubles down on alternative powertrains.
•	For impacted workers, watch for severance details, retraining options, and potential transitions into emerging EV startups.

Key Entities

• Nissan Motor Co. – A major Japanese automaker struggling with debt and competition.
• Honda – Nissan’s planned merger partner, a deal that fell apart earlier this year.
• CEO Ivan Espinosa – Overseeing Nissan’s dramatic cost-reduction strategy.

Multi-Perspective Analysis

Left-Leaning View

Nissan's drastic measures highlight the need for stronger labor protections and government intervention to support workers affected by corporate downsizing.

Centrist View

Nissan's significant losses and job cuts reflect the challenges facing the automotive industry, emphasizing the need for strategic restructuring to ensure long-term viability.

Right-Leaning View

Nissan's decision to cut jobs and factories is a necessary response to market pressures, demonstrating the importance of corporate efficiency in a competitive global economy.

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