According to the “Nihon Keizai Shimbun” report, two Japanese car companies plan to reduce the scale of production in China. Nissan Motor Co., Ltd. is considering cutting its production capacity in China by 30%, and Honda Motor Co., Ltd. plans to reduce its production capacity in China. 20%.
The report attributed the production reduction plans of the two car companies to the rise of electric vehicles in China. Japanese car companies are facing increasingly fierce competition from local manufacturers such as BYD. A Honda spokesperson said the company produced 1.2 million vehicles last year and has a capacity of 1.49 million vehicles, so there is “still room to go.” Representatives for Nissan were not immediately available for comment.
It is reported that Honda and Nissan’s sales in China have shown a downward trend for at least three years, while Toyota’s sales have basically remained flat. “Japanese automakers that once introduced leading technologies to China are being forced to rebuild their strategies.” Some IT friends may still have impressions. For example, Dongfeng Nissan Sylphy topped the list of sedan sales almost every month a few years ago. Now this position has long been replaced by domestic brands.
According to the report, the three companies lack attractive electric vehicle products. Nissan’s annual production capacity may be cut by as much as 500,000 vehicles from the current 1.6 million vehicles; Honda is considering reducing its annual production capacity (in China) from the original 1.6 million vehicles to about 1.2 million vehicles.
