Japanese automaker Nissan Motor Co., Ltd. has announced its aggressive recovery strategy ‘Re:Nissan’, which aims for JPY 500 billion in total cost savings and a return to profitability by fiscal year 2026. The plan, led by new management, includes a sharp focus on cost reduction, manufacturing efficiency and a redefined global product and market strategy.

The urgency of the Re:Nissan plan follows a difficult fiscal year 2024, in which global sales stagnated at 3.346 million units amid intense competition. Consolidated net revenue stood at JPY 12.63 trillion, while operating profit plunged to JPY 69.8 billion – an operating margin of just 0.6 percent. The company reported a net loss of JPY 670.9 billion, with both free cash flow and operating profit in the automotive business turning negative. Compared to FY2023, operating profit dropped by JPY 498.9 billion, underscoring the scale of the turnaround challenge.

Going forward, the company is targeting JPY 250 billion in variable cost reductions through engineering efficiencies and supplier consolidation, alongside another JPY 250 billion in fixed cost cuts by FY2026.

Nissan will reduce its global vehicle plants from 17 to 10 by FY2027, along with cancelling a planned LFP battery plant in Kyushu and streamline powertrain operations.

The automaker also plans to cut 20,000 jobs globally by FY2027, including 9,000 already announced, covering manufacturing, R&D and SG&A functions.

By cutting parts complexity by 70 percent and halving vehicle platforms to 7 by 2035, Nissan aims to slash development lead times. Upcoming models include the all-new Skyline and INFINITI compact SUV.

Nissan will focus on key markets – U.S., Japan, China, Europe, Middle East and Mexico – with localised product approaches. For instance, in the U.S., the company will expand its hybrid lineup and refresh the INFINITI brand.

The Japanese automaker will also deepen alliances with Renault and Mitsubishi Motors and pursue ongoing collaboration with Honda Motor Co in electrification and vehicle intelligence.

Ivan Espinosa, CEO, Nissan Motor Co, said, "In the face of challenging FY24 performance and rising variable costs, compounded by an uncertain environment, we must prioritise self-improvement with greater urgency and speed, aiming for profitability that relies less on volume. As new management, we are taking a prudent approach to reassess our targets and actively seek every possible opportunity to implement and ensure a robust recovery. Re:Nissan is an action-based recovery plan clearly outlines what we need to do now. All employees are committed to working together as a team to implement this plan, with the goal of returning to profitability by fiscal year 2026.”

Comments (0)

ADD COMMENT

Link Copied!

Stellantis India has started exporting the Citroen Basalt from its Chennai plant to South Africa. This shipment brings the total number of Citroen vehicles exported from India to South Africa to 10,000 units.

The Basalt is built on a platform developed in India by local teams for domestic and international markets featuring a 95 percent localisation level. This export programme is part of a strategy to use India as a hub for manufacturing and sourcing within the global Stellantis network.

The company stated that the increase in export volumes reflects the quality and cost competitiveness of its Indian operations. The growth in exports supports employment and the development of the local automotive sector.

Shailesh Hazela, CEO and Managing Director, Stellantis India, said, “Commencing Citroen Basalt exports to South Africa strengthens Stellantis India’s position as a competitive manufacturing, quality‑driven and sourcing base. As our export volumes grow, our focus remains on building a resilient and integrated ecosystem, from vehicles to components, delivered through a consistent and high‑quality supply cadence. This milestone reinforces India’s expanding contribution to our global operations.”

Comments (0)

ADD COMMENT

Link Copied!

SAIC Motor-owned British marquee brand Morris Garages (MG) presented its developments in electric mobility and driving systems at the Beijing Auto Show 2026. The OEM showcased the 2026 MG4, the MG 4X and the MG 07 as part of its transition to new energy vehicles.

Interestingly, MG Motor launched the 2026 MG4 with six variants. The model includes exterior colours such as Ice Crystal Blue and Almond Beige, a black roof and 17-inch alloy wheels. MG worked with artist Jacky Tsai and the Lu Xun Academy of Fine Arts to provide customisation options.

On the inside, MG4 features front seats with heating, ventilation, massage and memory functions. The technology suite consists of an 8-inch driver display and a 15.6-inch touchscreen with wireless CarPlay. Driver assistance systems were updated to include nose-in, custom, and dead-end parking functions. The MG4 utilises cell-to-body integration and a semi-solid battery.

Furthermore, the MG 4X SUV is scheduled for a debut in May, which will feature a semi-solid battery and rear-wheel drive with five-link suspension as standard.

MG also displayed the MG 07, a coupe built on a new energy platform. It will be available as a battery electric vehicle or a plug-in hybrid. Through a partnership with Momenta, the MG 07 will use the R7 solution and the XHEART X7 chip to provide urban Navigate on Autopilot. This system uses a world model to understand scenes and predict risks.

Comments (0)

ADD COMMENT

Link Copied!

French automotive major Renault Group India has approached the National Company Law Tribunal (NCLT) to approve a structural realignment of its domestic operations.

The proposal aims to create more focused operating units by separating specific industrial activities. Under this plan, powertrain manufacturing will be organised as a dedicated entity, while vehicle manufacturing and sales operations will be consolidated into an integrated structure.

The realignment is designed to address the unique industrial requirements of Renault's various business arms and support long-term growth in the Indian market.

The move supports Renault’s goal of establishing India as a major manufacturing and export hub, with a target of reaching EUR 2 billion in annual exports by 2030.

By separating powertrain and vehicle manufacturing, the company intends to create clearer, more specialised management structures.

Renault Group India has reaffirmed its commitment to India as a key strategic market. The company has emphasised that the proposed changes are structural and will not affect day-to-day business or cause disruption to existing operations and business continues as usual. Employment terms, service continuity and existing relationships with dealers, suppliers and partners remain unchanged.

Comments (0)

ADD COMMENT

Link Copied!

Skoda Auto India, one of the leading passenger vehicle manufacturers, has announced a strategic partnership with CSC (Common Services Centre) Grameen eStore to extend its sales network into India's semi-urban and rural markets.

Through this collaboration, Skoda's current portfolio – including the Kylaq, Kushaq and Slavia – will be accessible via the CSC digital-first platform. This move makes Skoda one of the few premium automotive brands to leverage the vast network of local Village Level Entrepreneurs (VLEs) to bridge the accessibility gap in non-metropolitan regions.

The partnership utilises a hybrid model that combines digital discovery with physical fulfilment. Customers in remote areas can explore and initiate inquiries for Skoda vehicles through the Grameen eStore platform. Local entrepreneurs at CSC centres will assist customers with product details and purchase journeys. Once a purchase is initiated via the CSC network, the final delivery and subsequent vehicle servicing will be handled by Skoda Auto India’s existing dealership infrastructure.

Ashish Gupta, Brand Director, Skoda Auto India, said, “At Skoda Auto India, our growth journey is anchored in improving accessibility and building relevance across newer markets. Our partnership with CSC Grameen eStore allows us to bridge access gaps by combining the strength of a trusted local network with our diverse product portfolio that democratises technology for Indian customers. This initiative will bring Skoda Auto closer to customers, enabling them to experience our products and services more conveniently, regardless of their location, creating a more inclusive and accessible mobility ecosystem.”

The CSC Grameen eStore has become a vital channel for automotive manufacturers looking to tap into India's ‘Bharat’ market. For Skoda, this partnership scales its reach significantly without the immediate need for capital-intensive physical showroom expansions in lower-tier cities, while still maintaining the premium service standards provided by its authorized dealers.

Comments (0)

ADD COMMENT

Link Copied!