TOKYO—As part of its urgent efforts to return to profitability, Nissan is reducing production at its factories in the United States and providing buyouts to industrial workers.
The action is part of Nissan Motor Corp.'s two-month-old plan to cut 9,000 jobs worldwide, including in China, following a quarterly loss due to falling sales and rising inventory.
Nissan's plant in Smyrna, Tennessee, will keep one production line running two shifts, while the other will be consolidated into one, according to the firm.
The Smyrna plant produces the Murano, Pathfinder, and Rogue sport utility cars, as well as the Infiniti QX60 luxury model.
Nissan is decreasing the pace of one line and consolidating another at its Canton facility in Mississippi, where the Altima car and Frontier truck are manufactured.
Shift adjustments will be more gradual at Decherd's engine manufacturing factory in Tennessee. Some would be retained, while others will be cut by a single shift, it stated.
When Nissan revealed its recovery strategy in November, it did not specify where the job cutbacks may occur.
The workforce decrease of 9,000 persons represents around 6% of its more than 133,000 global employees. The corporation also intends to reduce its global production capacity by 20%.
Nissan, based in the port city of Yokohama, said the latest offers are part of its overall employment reduction strategy and are intended to make its operations more efficient and adaptable.
“Nissan is taking urgent measures globally to turnaround its performance and create a leaner, more resilient business capable of swiftly adapting to changes in the market,” the company said in a statement.
Separately, Nissan and its Japanese rival Honda Motor Co. are forming a joint holding company to combine their companies in 2026.
Nissan and Honda announced in March that they will collaborate on electrified automobiles. They announced in August that the cooperation would be expanded. They intend to reach a "definitive agreement" by June.
Nissan plans to reveal its October-December financial results on February 13. Nissan stocks rose 2 percent in Tokyo trading after reports of U.S. plans emerged.
