Nissan Motor Co. plans to launch five new models in Japan in fiscal 2020, and release hybrid vehicles worldwide as part of efforts to rehabilitate its businesses, The Yomiuri Shimbun has learned.
The automaker, which plans to continue downsizing, aims to achieve an early recovery in its earnings under a new leadership team to be launched in December, according to an outline of its business reconstruction measures.
One of the models Nissan plans to release is the Ariya Concept, an electric sports utility vehicle whose prototype was unveiled at the Tokyo Motor Show in October, according to sources close to the firm.
The Ariya Concept is expected to be equipped with internet access and an automated driving system for hands-free driving on expressways, among other state-of-the-art features.
The automaker plans to start selling its Kicks compact SUV in Japan, a model popular in South America and other regions, and also fully revamp existing models such as the Note, X-Trail and Dayz Roox, the sources said.
Nissan has launched only three new models in Japan since fiscal 2014. Deteriorated business performance resulting from an excessive sales expansion under former Chairman Carlos Ghosn, meant the automaker did not have the funds to develop new models for the domestic market.
Nissan last launched five models in one year in fiscal 2013. The company hopes to impress the public with an aggressive management stance under its "New Nissan" slogan.
Nissan will also try to recover from a setback in overseas markets. The automaker plans to launch new models equipped with its "e-Power" hybrid system, in which an internal combustion engine is used to drive an electric generator that powers an electric motor, they said. It aims to sell such models in China and Europe in fiscal 2021 and in the United States in the following year or later.
Nissan's operating profit, which represents profits from its core business, has been on the decline since fiscal 2016 and is expected to drop to 150 billion yen in fiscal 2019, less than half of the previous year's level.
The company will maintain its plan to reduce production capacity by 10 percent from 7.2 million units to 6.6 million by halting lines at 14 bases around the world by fiscal 2022, among other measures, the sources said.
The automaker plans to reduce its workforce by about 12,500 accordingly. By the end of this fiscal year, Nissan plans to cut more than 6,400 jobs at eight bases around the world, including its plants in Tochigi and Fukuoka prefectures.
Nissan's affiliated autoparts manufacturers are also streamlining their operations in response to the carmaker's production capacity reduction.
The promotion of Makoto Uchida, a senior vice president in charge of the Chinese market, to president and chief executive officer as of Dec. 1 marks the launch of Nissan's new leadership team. The company is accelerating efforts to rebuild its operations, one year on from Ghosn's arrest.
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