Nissan to strategically downsize, shutdowns global HQ and R&D center upto May 10

On Tuesday, Nissan Motor Co stated, it would temporarily shutter its operations, including its global headquarter and other facilities in Japan, through early May.

The step is aimed at containing the spread of the coronavirus at its facilities.

Nissan Motor said, it would reduce its operations to minimum level at its head office in Yokohama along with other non-production facilities, including those at its R&D center in Atsugi, Kanagawa Prefecture.

The 16-day close down will be effective from April 25 to May 10, and will affect 15,000 employees, said the company in a statement.

Like many of its peers, Japan’s Nissan has shuttered most of its global production facilities because of the coronavirus. Its vehicle plants in Japan have been suspended since earlier this month.

Even before the spread of the coronavirus, Nissan’s sales and profits have been falling forcing it to reverse an aggressive expansion plan pursued by ex-CEO Carlos Ghosn.

The coronavirus pandemic has intensified its efforts to down size.

Nissan is said to announce a new recovery plan next month, said sources. Company executives see the need for the company to become significantly smaller.

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