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Nissan plans to slash May car output in Japan by 78%

TOKYO — Nissan plans to slash the number of cars it produces at home in May by 78% from last year, as the impact of the coronavirus shakes the troubled automaker which has already been struggling with falling sales. As global automakers reel from plunging sales amid lockdowns imposed in many countries to curb the spread of the virus, the hit is particularly severe for Nissan, whose profitability has been deteriorating as it grapples with the turmoil that followed the ousting of former Chairman Carlos Ghosn. Nissan plans to manufacture around 13,400 vehicles next month, according to documents seen by Reuters, compared with nearly 61,000 units made in May last year. The cut represents a big hit to Nissan's plant in Kyushu, southern Japan, which the automaker plans to operate on a single shift for much of this month and all of next month, due to a lack of demand for the Rogue Sport SUV crossover model, according to the documents, which are not public. Output will decline 70% from initial plans to build around 44,800 units. In June, domestic production will be cut to 33,700 vehicles, a drop from around 63,700 units last year, and down 43% from a previous plan for around 59,300. Nissan declined to comment on its production plans. The automaker has stopped production at its plant in Tochigi, north of Tokyo, since early April, and plans to keep output suspended through the end of May. Periodic stoppages at Nissan's Oppama plant in Kanagawa Prefecture have been common since earlier this month. The coronavirus pandemic has piled urgency on Nissan's efforts to downsize, after two years of falling sales, deteriorating margins and depleting cash reserves has forced the company to restructure. Nissan's management has become convinced that the company needs to be much smaller and its latest recovery plan due next month will likely assume a cut of 1 million cars to its annual sales target, senior company officials told Reuters earlier this month. Automaking partner Mitsubishi, also suffering from a cut to demand for its cars, is planning to slash domestic output by nearly one-third over the next two months. As both Nissan and Mitsubishi struggle with tanking sales, production plans show one bright spot: Nissan is planning an increase in production of the Nissan Dayz minicar model, which Mitsubishi manufactures for Nissan for the Japanese market. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Carlos Ghosn vows to 'restore my honor' in first remarks since arrest

TOKYO — Nissan Motor's jailed ex-chairman, Carlos Ghosn, vowed to restore his good name in court after a month in detention, Japanese public broadcaster NHK said on Friday. "Things as they stand are absolutely unacceptable," Ghosn was quoted as saying via his lawyer. "I want to have my position heard and restore my honor in court." It was Ghosn's first comment since his arrest on Nov 19 for allegedly understating his income by about half over a five-year period from 2010. He was later charged with the same alleged crime covering the past three years. A call to the office of his lawyer, Motonari Otsuru, went unanswered outside business hours early on Friday. The lawyer has previously declined to return calls for comment on the Ghosn case. A Tokyo court on Thursday unexpectedly rejected prosecutors' request to extend Ghosn's detention, which Japanese media said means he could go free on bail as early as Friday. Ghosn wants to hold a news conference after he is released, NHK quoted his lawyer as saying. The executive, who formed a carmaking alliance among Nissan, Mitsubishi Motors Corp and France's Renault SA, said he is not a flight risk and wants to be able to travel abroad, the report said. The Ghosn case has put Japan's criminal justice system under international scrutiny and sparked criticism for some of its practices, including keeping suspects in detention for long periods and prohibiting defense lawyers from being present during interrogations, which can last eight hours a day. Japan has also come under fire for its 99.9 percent conviction rate. The Tokyo court unexpectedly ruled not to extend Ghosn's detention. It said it had also decided against extending detention for Greg Kelly, a former Nissan executive who was arrested along with Ghosn on Nov. 19. It later overruled an appeal by prosecutors against the decision, clearing the way for the possible release of the two men as early as Friday. The court did not disclose reasons for its decision, and NHK said it was "extremely rare" for it to reject the prosecutors' request to extend detention. If Ghosn and Kelly are granted bail, conditions may require them to apply for permission to travel overseas. They could also be barred from contacting Nissan officials. Both executives had not been able to make any public statements since their arrest, although local media have reported that they have denied wrongdoing. Ghosn was indicted on Dec.

Mitsubishi to showcase Outlander PHEV Concept-S in Paris

The Mitsubishi Outlander PHEV is rumored to finally come to the US next fall as a 2016 model. In the meantime, the Japanese brand is showing off a concept for an Outlander plug-in at the Paris Motor Show in October with a massive improvement in styling and material quality that the automaker calls the "Sporty and Sophisticated" design theme.
With just a nip and a tuck, Mitsubishi's stylists have made the Outlander PHEV look a whole lot better. Instead of the narrow, squinting look of the current model, the concept shows a more vertical design that puts a big X right on the front end. In the center, there is an updated version of the horizontal grille leading to reshaped headlights. The big changes are found somewhat lower, with an air dam that is much better integrated thanks to black and chrome accents to draw the eye. The company claims that the rear gets similar upgrades with new lights and shining trim running across the tailgate.
The improved styling gets carried inside, as well. According to Mitsubishi, the design features black wood grain trim and silver accents throughout the cabin, and the center console is inspired by Japanese black lacquer boxes. The seats are also covered in hand-stitched leather with horizontal ribs.