Nissan Motor Co. will end vehicle production at its plant in Oppama, Japan, at the end of FY2027, the company announced on July 14.
The 18.2 million-square-foot factory began operations in 1961 and has produced 17.8 million vehicles to date. It was also the first plant to produce the Nissan Leaf in 2010, the world’s first mass-market electric vehicle.
The move is part of the automaker’s fast-track plan to return to profitability by FY2026, which includes consolidating its global vehicle production footprint from 17 to 10 plants by FY2027. The company will transfer the Oppama plant’s production to Nissan Motor Kyushu Co. in Fukuoka, a move it says will help it “significantly reduce manufacturing costs in Japan,” per the release.
Nissan’s goal is to reduce global production from 3.5 million units (excluding China) to 2.5 million units while maintaining 100% plant utilization. The automaker said it will not conduct additional production actions in Japan.
“Today, Nissan made a tough but necessary decision,” CEO Ivan Espinosa said in the release. “It wasn’t easy—for me or for the company—but I believe it’s a vital step toward overcoming our current challenges and building a sustainable future.”
While Nissan will stop making vehicles in Oppama, it will maintain other operations in the region, including a research center and crash test facility. The company said the estimated 2,400 workers at the Oppama production plant will remain employed until the end of FY2027. Nissan is still finalizing plans on future work arrangements for the affected workers, according to the release.
Meanwhile in the U.S., Nissan is delaying the 2028 production launch of two electric SUVs at its Canton, Mississippi, plant by 10 months as part of a strategic decision and not a specific reaction to policy changes, according to the company.
In other production consolidation moves, Nissan in May announced it was consolidating production of the Frontier and Navara pickups to its plant in Morelos, Mexico. Production of those vehicles previously were split between the Mexico facility and another plant in Argentina.
Also as part of its effort to reduce its manufacturing footprint, Nissan in March sold its 51% stake in Renault Nissan Automotive Indiana Private to its partner, Renault Group. However, Nissan will continue producing vehicles in India through its partnership with Renault.
