Nissan's CEO Reveals Billion-Dollar Restructuring Plan Amidst EV Transition Challenges

Nissan's Billion-Dollar Gamble: Restructuring Amidst EV Transition and Chinese Competition Nissan, a leading automaker, is undergoing a massive restructuring plan, as announced by CEO Ivan Espinosa in an exclusive interview with CNBC. The plan involves cutting 11,000 jobs and closing seven factories, a drastic measure aimed at reviving the company's fortunes after years of declining sales. Espinosa highlighted the challenges of transitioning to electric vehicles and the fierce competition from Chinese automakers as key factors contributing to the crisis. "The landing wasn't good in fiscal year 2024, and there's a big transformation to be made," Espinosa stated, emphasizing that the problems are not recent but rather stem from fundamental structural issues. The company's peak sales of 5.6 million vehicles annually have plummeted to between 3.3 and 3.4 million, necessitating this significant restructuring. The move underscores the intense pressures facing global automakers as they navigate the shift to electric vehicles and contend with the rise of Chinese competitors in the market. Nissan's bold strategy will be closely watched by industry analysts as a potential model for other companies facing similar challenges.