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Nissan plans to slash May car output in Japan by 78%

TOKYO — Nissan plans to slash the number of cars it produces at home in May by 78% from last year, as the impact of the coronavirus shakes the troubled automaker which has already been struggling with falling sales. As global automakers reel from plunging sales amid lockdowns imposed in many countries to curb the spread of the virus, the hit is particularly severe for Nissan, whose profitability has been deteriorating as it grapples with the turmoil that followed the ousting of former Chairman Carlos Ghosn. Nissan plans to manufacture around 13,400 vehicles next month, according to documents seen by Reuters, compared with nearly 61,000 units made in May last year. The cut represents a big hit to Nissan's plant in Kyushu, southern Japan, which the automaker plans to operate on a single shift for much of this month and all of next month, due to a lack of demand for the Rogue Sport SUV crossover model, according to the documents, which are not public. Output will decline 70% from initial plans to build around 44,800 units. In June, domestic production will be cut to 33,700 vehicles, a drop from around 63,700 units last year, and down 43% from a previous plan for around 59,300. Nissan declined to comment on its production plans. The automaker has stopped production at its plant in Tochigi, north of Tokyo, since early April, and plans to keep output suspended through the end of May. Periodic stoppages at Nissan's Oppama plant in Kanagawa Prefecture have been common since earlier this month. The coronavirus pandemic has piled urgency on Nissan's efforts to downsize, after two years of falling sales, deteriorating margins and depleting cash reserves has forced the company to restructure. Nissan's management has become convinced that the company needs to be much smaller and its latest recovery plan due next month will likely assume a cut of 1 million cars to its annual sales target, senior company officials told Reuters earlier this month. Automaking partner Mitsubishi, also suffering from a cut to demand for its cars, is planning to slash domestic output by nearly one-third over the next two months. As both Nissan and Mitsubishi struggle with tanking sales, production plans show one bright spot: Nissan is planning an increase in production of the Nissan Dayz minicar model, which Mitsubishi manufactures for Nissan for the Japanese market. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Infiniti puts EV plans on hold again

Think of it as the green-automotive industry's version of Groundhog Day. Nissan's Infiniti division is putting plans for its first mass-production electric vehicle on hold. Again. The Infiniti LE, whose concept version was unveiled 2012's New York Auto Show, is again being put up on the proverbial blocks, USA Today says, citing a presentation by Infiniti executive Michael Bartsch at a recent company event in Detroit. Essentially, the Nissan division has bigger fish to fry, in the form of boosting overall Infiniti sales, and doesn't yet want to put the effort into introducing the Infiniti LE. The Infiniti EV plans were first postponed by then-Infiniti President Johan de Nysschen during the summer of 2013, as de Nysschen wasn't quite buying into Nissan boss Carlos Ghosn's ambitious electric vehicle sales projections. De Nysschen resigned last summer to join General Motors' Cadillac division. One issue may be the fact that the Infiniti wouldn't be all that different from the Nissan Leaf. Despite the fact that US sales of that EV surged 34 percent last year compared to 2013, to 30,200 vehicles, an Infiniti version was apparently not enough of a selling point within the company. While the Infiniti is sportier looking than the Leaf and would boast inductive, wireless charging, it would have a similar power output and single-charge range as the Leaf.

Nissan confirms what's in the box

While there were few doubts about what could've been hiding under the giant cardboard box being transported on a flatbed truck earlier this month, Nissan has officially confirmed that it was, in fact, a Versa Note being delivered from Amazon.
As a part of the special promotion, online shoppers who bought a Versa Note using the retailing giant also received a $1,000 Amazon gift card. Scroll down to watch how the car was packaged and shipped as well as what the buyer did with all that cardboard.