The global auto market has yet to fully recover from the crash of 2008, but Nissan is ready to call its turnaround plan “mission accomplished”. Nissan revealed on Wednesday that it will soon disband a special task force put together to curtail financial losses.
Nissan has yet to completely turn around its business, but the Japanese automaker says it has stopped its financial bleeding. “We’re not losing money anymore,” Colin Dodge, a Nissan executive vice president, told Automotive News. “We can’t stay in recovery mode forever. Mr. Ghosn told me to use my best judgment about when to stop, and I think that might be pretty soon.”
Nissan lost $2.4 billion in the fiscal year that ended March 30.
Nissan managed to curtail its losses through production shifts, better supply chain management and better allocation of funds, with many of the changes happening in a matter of weeks. Nissan moved one of its CVT lines from Japan to China, with the new plant now capable of producing 400,000 units per year. Nissan also realigned its supply chain, eliminating potential risks that could surface down the road.
Nissan’s U.S. operations were also apart of the revamp, with the Japanese automaker claiming it can now be profitable at a sales level of 10.5 million units.
10/21, 6:01 PM
posted by:
A4
I didn’t even know they had a “recovery” plan…
10/21, 6:27 PM
posted by:
beatusmongous
Nor did I, A4.
“Nissan moved one of its CVT lines from Japan to China” – so now the Chinese can make the paddles…
10/21, 7:13 PM
posted by:
johnnycanuck
I always have a recovery plan… and usually by the time work’s over I’m fully recovered.
10/21, 7:29 PM
posted by:
Bosley
I’d like to know how much money they spent with this ‘task force’ engaged in saving them money. Sounds almost a government move……..
10/21, 7:30 PM
posted by:
Bosley
Sounds almost LIKE a government move. I need another drink……..
10/21, 7:50 PM
posted by:
DrFill
Nissan has had financial issues for years
That’s why Ghosn was brought on 4-5 years ago
Considering the fact that the Hyundais of the world are starting to eat their lunch
They aren’t out of the woods
Not by a long shot
DrFill
10/21, 9:02 PM
posted by:
cereal
I can see people in Japan not being too happy, moving some of the Japanese jobs to China, and all…
-cereal
10/21, 9:19 PM
posted by:
atoms
beatusmongous at least the melamine won’t be going into their milk
10/21, 9:27 PM
posted by:
cire_1wb
I have one suggestion for Nissan as far as the U.S. market is concerned. Drop the dumpy current generation Sentra and start building modified versions of the Fluence sedan and select variants of the Megane range (3-door “coupe” and 5-door hatchback) for the U.S. market. The front end styling would need to be reworked to give these products a NIssan-esque front end treatment as well as to meet U.S. crash standards. I would also change all the cheap looking charcoal colored cladding to body colored cladding. I think this is all that is needed to transform these nice looking Renaults (probably their best looking products by far) into a great new Sentra compact car range for Nissan. The Renault based products would certainly look more appropriate sitting next to the sleek looking 370Z, Altima sedan/coupe, and Maxima than the pathetic looking version of the current Sentra. I think the overall shape of the Fluence better resembles the Altima and Maxima sedans much more than the current Sentra. Applying a front fascia treatment similar to the 2010 Altima coupe to the Fluence would make one nice looking compact sedan for Nissan. The Megane 3-door “coupe” would make a nice compact class little brother to the 370Z too. The 5-door Megane would make a nice Golf/Mazda3 5-door competitor for those who want a bodystyle that offers a little more utility. Since Renault is not present in the U.S. market, I think this would be totally feasible. I know the article is in reference to the company’s profitability, but some of its product range still needs some serious revamping. A slightly tweaked 2010 Sentra just doesn’t cut it.
Now if only something could be done about the horrid looking Versa…
10/22, 12:29 AM
posted by:
lanevokid
The Renault Fluence, isn’t exactly that big of an improvement over the Sentra. It probably has crappier reliability than the Sentra, and also its more expensive than a Sentra. A Megane can never be a compact alternative to a 370z, unless its the potent R26.R and that cud be imported as a SE-R of some sort. The Versa doesn’t look THAT bad, considering the fact that its a economy/cheap bottom-end car. Honestly, it looks better than the Hyundai Accent, or the Chevrolet Aveo.
10/22, 4:54 AM
posted by:
A4
Wait, Dr Fill, you mean Nissan in fact does not rock, and they are surely not about to start rollin?
10/22, 9:43 AM
posted by:
dAVE mAN
Even more reason to not want a Nissan w/ CVT…. made in China now.
(my Altima is the last year they had the 5AT in the V6)
10/22, 10:25 AM
posted by:
RotaxKart
Missed the CVT by a year…… Sorry man.