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Infiniti will move back to Japan from Hong Kong in 2020

BEIJING – Nissan's premium brand Infiniti is relocating its headquarters back to Japan from Hong Kong, its home since 2012, to create "more operational efficiencies" with its parent company, according to a document seen by Reuters on Wednesday. The move planned for mid-2020, and expected to be publicly announced later on Wednesday, will help the Japanese automaker cut costs amid a slump in its global earnings in the year ended March 31. "The relocation will further integrate (Infiniti) with global design, research and development and manufacturing functions based in Japan," Nissan said in the statement, adding that Infiniti would continue to "operate independently". The move also was "crucial" for Nissan to follow through on its strategy to electrify the Infiniti lineup, the document said, with plans for every premium model launched from 2021 to be either all-electric or "e-Power" hybrid. A Nissan official, speaking on condition of anonymity, said that while there was a "fair amount of platform and other base technology sharing" between Infiniti and the main volume brand Nissan, "there could be more". Nissan's global operating profit plunged 45% in the last fiscal year and would likely drop another 28% to "rock bottom" in the current one, according to company filings earlier this month. Infiniti's move back to Japan will reverse a decision made under ousted leader Carlos Ghosn to dilute the premium brand's Japanese origins in order to foster a more global image. Its Hong Kong headquarters has about 180 employees who were told about the move back to Yokohama earlier on Wednesday, according to the Nissan official. The Hong Kong headquarters and the global image it was intended to promote were seen as critical for Infiniti to make inroads in China, where being Japanese can sometimes be a handicap because of historical animosities. In 2012, Infiniti and other Japanese brands took a battering in the wake of diplomatic spats over disputed islets known as Diaoyu in China and Senkaku in Japan. Since then, Japan's bilateral relationship with China has steadily improved and Japanese automakers including Nissan and Toyota are seeing their businesses expand, even as China's overall auto market has slumped over the past year. (Reporting by Norihiko Shirouzu; Editing by Stephen Coates)

Nissan delays GT-R LM Nismo's return to WEC after poor Le Mans showing

After a catastrophic run at the 24 Hours of Le Mans in June and a widely publicized review of the program, Nissan is delaying the GT-R LM Nismo prototype's next showing in the World Endurance Championship season. The team will continue testing and working out the car's crippling issues. "We know people will be disappointed, but be assured that nobody is more disappointed than us," Shoichi Miyatani, the president of Nismo, said in a statement. "We are racers and we want to compete, but we also want to be competitive. That is why we have chosen to continue our test program and prepare the GT-R LM Nismo for the strong competition we face in the World Endurance Championship. When you innovate, you don't give up at the first hurdle. We are committed to overcoming this challenge." The big issue for the GT-R at Le Mans was its Energy Recovery System. Its failure meant the racer was forced to rely on engine power alone, hobbling the program significantly. "We have many areas to work on – not least ensuring that we have the best ERS option available to us. The team is pushing hard on track, in the wind tunnel and at Nismo's various facilities around the world to deliver the long list of improvements we know that we need," Ben Bowlby, Nissan LM P1 technical director, said in a statement. The GT-R was met with skepticism upon its debut, thanks to the way it eschewed the hallmarks of most successful racers. Not only was the engine in front – a rarity in the past four or so decades of prototypes – but it also sent its power to the front wheels. And it was a lot – 1,250 hp to be precise, with 700 hp coming from electric motors alone. Despite this frankly absurd output, the competition from Porsche, Audi, and Toyota easily bested the GT-R LM Nismos. Scroll down for the official press release from Nissan. Nissan to address technical issues of LM P1 car before returning to World Endurance Championship Nissan GT-R LM NISMO to remain in test program before re-joining World Endurance Championship LONDON – Nissan today announced that it will delay its return to the LM P1 class of the FIA World Endurance Championship and instead focus on technical issues that challenged its race team during the Le Mans 24 Hours. Issues with the energy recovery system (ERS) meant that Nissan had to run at the Le Mans 24 Hours on engine power alone.

Automakers drop support for Trump effort against California emissions

WASHINGTON — Toyota, Fiat Chrysler (now known as Stellantis following its merger with Peugeot) and other major automakers said on Tuesday they were joining General Motors in abandoning support for former President Donald Trump's effort to bar California from setting its own zero emission vehicle rules. The automakers, which also included Hyundai, Kia, Mitsubishi, Mazda and Subaru, said in a joint statement they were withdrawing from an ongoing legal challenge to California's emission-setting powers, "in a gesture of good faith and to find a constructive path forward" with President Joe Biden. The automakers, along with the National Automobile Dealers Association, said they were aligned "with the Biden administrationÂ’s goals to achieve year-over-year improvements in fuel economy standards." Nissan in December withdrew from the challenge after GM's decision in November shocked the industry and won praise from Biden. On Monday, the Justice Department asked the U.S. Appeals Court for the District of Columbia to put the California emissions litigation on hold to "ensure due respect for the prerogative of the executive branch to reconsider the policy decisions of a prior administration." Biden has directed agencies to quickly reconsider TrumpÂ’s 2019 decision to revoke CaliforniaÂ’s authority to set its own auto tailpipe emissions standards and require rising numbers of zero-emission vehicles, as well as Trump's national fuel economy rollback. Asked to respond to the automakers' action, White House climate adviser Gina McCarthy said in a statement that "after four years of putting us in reverse, it is time to restart and build a sustainable future, grow domestic manufacturing, and deliver clean cars for America." California Governor Gavin Newsom praised the automakers on Twitter for "dropping your climate-denying, air-polluting, Trump-era lawsuit against CA" and urged them to join the voluntary framework. TALKS WITH BIDEN Separately, an industry trade group on Tuesday proposed to start talks with Biden on revised fuel economy standards that would be higher than Trump-era standards but lower than ones set during the prior Democratic administration. The Trump administration in March finalized a rollback of U.S. Corporate Average Fuel Economy standards to require 1.5% annual increases in efficiency through 2026, well below the 5% yearly boosts under the Obama administration rules it discarded.