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Nissan halts manufacturing at Changzhou plant as China woes persist

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By Daniel Leussink and Kantaro Komiya

TOKYO (Reuters) – Nissan Motor has halted manufacturing at its Changzhou plant in China because it seeks to optimise its operations, the Japanese automaker mentioned on Friday.

The Changzhou plant, collectively operated with Nissan’s native associate Dongfeng Motor, was producing the Qashqai SUV with annual capability of about 130,000 automobiles a yr, a Nissan spokesperson mentioned.

The Nikkei enterprise day by day had earlier reported that Nissan was shutting the plant.

Nissan’s complete manufacturing capability on the planet’s largest auto market is 1.6 million automobiles, with the Changzhou plant accounting for 8% of that, the spokesperson mentioned, including that the corporate stays dedicated to China.

The Japanese carmaker operates eight factories in China by means of its three way partnership with Dongfeng, however like different Japanese producers it has misplaced market share to fast-moving native rivals which can be attracting drivers with an array of software-loaded electrical automobiles priced at comparable ranges to automobiles powered by inside combustion engines.

Smaller rival Mitsubishi Motors determined final yr to finish manufacturing at its Chinese language three way partnership.

Mitsubishi can also be Nissan’s associate in a long-standing alliance with French carmaker Renault.

(Reporting by Daniel Leussink and Kantaro Komiya; Enhancing by David Goodman)

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