Nissan to axe 9,000 jobs, cut production

Nissan Motor will cut 9,000 jobs and 20% of its global manufacturing capacity, the automaker said on Thursday, as it scrambles to reduce costs by $2.6 billion in the current fiscal year amid a sales slump in China and the US.

Nissan cut its annual profit outlook by 70% to 150 billion yen ($975 million) on Thursday, the second time it lowered the forecast this year. Like many foreign automakers, it is struggling in China where BYD and other local manufacturers are gobbling up market share with affordable EVs and hybrids that boast advanced technology.

But Nissan's graver problem may be in the United States, where it lacks a credible line-up of hybrid cars. Nissan misread the demand for hybrids in the United States, CEO Makoto Uchida told a press conference.

The Yokohama-based company is planning to cut 9,000 jobs, equivalent to 6.7% of its 133,580 global employees.