Nissan has announced a recovery program called Re:Nissan

Nissan Motor Company has announced a recovery program called Re:Nissan, under which 20 employees worldwide will be laid off, representing almost 15 percent of its current workforce of 133.580.

The goal of the Re:Nissan program is to save $3,4 billion, and the Japanese manufacturer hopes to achieve this through layoffs, the closure of 7 out of 17 factories, as well as cost optimization in the research and development, marketing, management, and production departments.

It is not yet known which regions will be affected by these "cuts", however the United States remains a key market. Nissan has about 21 employees and three factories in the US.

Fiscal year 2024, which ended in March, was extremely unfavorable for Nissan, with a net loss of $54,5 billion, while operating profit fell by 88 percent, to $472 million.

Global sales reached 3,35 million vehicles, a slight decrease compared to 3,37 million vehicles in 2023.

According to Nissan's new CEO, Ivan Espinosa, who took office on April 1, the company cannot survive with such a profit-to-cost ratio. He has described fiscal year 2025 as a "transition year" towards profitability in fiscal year 2026.

In December 2024, Nissan held talks with Honda about a possible merger, but they failed. Honda proposed turning Nissan into a subsidiary, but this proposal was rejected. /Telegraph/