Car brand set to close 40% of factories puts SA at risk
Will these plans affect the Rosslyn plant located outside Pretoria?
There have been many recent reports of car brands shutting down dealerships locally and internationally.
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It has also been reported that Nissan is set to implement a more drastic turnaround plan than previously envisioned.
This news follows an annual net loss of 671 billion yen (R82 billion) for the financial year to March 2025.
The seven factories set to close will also put 20,000 jobs on the line.
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After announcing their financial loss, the company said it will reduce the number of vehicle production plants in the Nissan global network from 17 to 10 by 2027.
It also plans to streamline its powertrain plants and cancel the planned Lithium Iron Phosphate battery plant in Kyushu, Japan.
We wouldn't be doing this if it was not necessary to survive. 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.
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Will these plans affect the Rosslyn plant located outside Pretoria?
The car company has not announced which specific plants that will be closed.
It is suspected that the Indian and UK facilities will be safe given their production plans.
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According to IOL, the company spokespersons have previously stated that the SA plant is a key hub for expansion into Africa.
Rosslyn currently produces the Nissan Navara bakkie in double-cab and single-cab formats, and production volumes are significantly lower than in previous years.
In the first four months of 2025, Nissan sold just 1,838 locally produced Navaras and exported 3,101 units.
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In comparison, Ford South Africa, producing a single bakkie at its Silverton plant for the same period, sold 7,933 Rangers and exported 20,244 units.
The SA-built Navaras are only exported into Africa, while Ford's Ranger is shipped to over 100 international markets.
For now, it's all a waiting game until Nissan releases an official statement.
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