Crisis-hit car brand ‘to close another two major plants' – days after shutting flagship factory with 2,400 workers
SHARP TURN Crisis-hit car brand 'to close another two major plants' – days after shutting flagship factory with 2,400 workers
A STRUGGLING car brand will reportedly close another two major plants - days after shutting a flagship factory.
The brand is planning to close the plants down as part of its huge global restructuring plan.
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A major car brand is closing several of its production plants
Credit: Getty
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Two plants will be closed in Mexico
Credit: Getty
Nissan has been battling with rising debt and manufacturing in recent years, forcing the company to desperately re-evaluate its business strategy.
The company launched its Re:Nissan initiative, in which it is earmarking factories across the world for closure.
Now, according to Automotive News,, Nissan is has earmarked two factories in Mexico for closure.
Nissan is planning to close its Civac plant in Morelos and the Cooperation Manufacturing Plant Aguascalientes (COMPAS) plant in Aguascalientes.
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Both factories are set to close by 2027, putting thousands of jobs at risk.
The Civac plant has been producing cars since 1966 and was the very first international manufacturing site that Nissan ever owned.
It currently produces the South American version of the Frontier, the N18 Versa and the Mexico-only V-Drive.
Meanwhile, COMPAS was only opened 10 years ago as a collaboration between Mercedes-Benz and Nissan.
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The plant produced the Mercedes GLB in 2019, the Infiniti QX50 in 2017, and the QX55 in 2021 - all of which are set to end production.
The Sun have approached Nissan for comment about the closure.
Final days for Nissan drivers to claim $5k from 'defect' settlement – you can get multiple payouts by filling in form
The news comes after Nissan closed its flagship factory in the Kanagawa Prefecture south of Tokyo.
The factory will close at the end of the 2027 fiscal year in March 2028.
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Over 2400 jobs will be lost in the closure, which Nissan says was a 'touch but necessary decision'.
Chief Executive Ivan Espinosa said: 'I believe it's a vital step toward overcoming our current challenges and building a sustainable future.
'The world is changing by the minute.'
The car manufacturer is planning to reduce its 17 plants down to just 10.
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Nissan has been battling with falling vehicle sales in China, huge restructuring costs and US President Donald Trump's international tariff war.
Trump's tariffs have raised the cost of importing vehicles, causing car sales of many different brands to nosedive across the world.
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