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Nissan Cutting 9,000 Jobs After Slumping Sales
9,000 jobs are set to be cut at Japan's third-largest automaker Nissan.
The company will also cut its annual operating profit forecast by 70% to $975 million, marking its second downward revision this year, after Operating profit for its second-quarter tumbled 85%, which is well below expectations.
Nissan joins a growing number of foreign automakers that struggling in China, as competition intensifies from Chinese manufacturers in the electric vehicle market.
However, second quarter sales have also been sluggish in the U.S, falling almost 3% to about half a million vehicles.
Together, China and the U.S. account for nearly half of Nissan's global sales by volume.
Nissan says that core models in the U.S. did not sell as well as expected and that the automaker been surprised by the rapid growth in demand for hybrids.
In addition, Automakers are bracing for President Donald Trump to potentially impose new tariffs on vehicles from Mexico and other countries and to reverse many existing pro-electric vehicle policies.
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