Nissan Motor Co. will end vehicle production at its Oppama plant in Japan by March 2028, transferring operations to its Kyushu facility in a move aimed at reducing costs and streamlining operations. The Oppama plant, which opened in 1961 and employs around 2,400 workers, was once the production site of the world’s first mass-produced EV, the Nissan Leaf. Its closure is part of a broader plan to consolidate global manufacturing, resulting in the reduction of up to 20,000 jobs and a decrease in annual production capacity from 3.5 million to 2.5 million units.
CEO Ivan Espinosa acknowledged the closure’s economic and social toll but stressed its necessity for Nissan’s long-term recovery. The decision follows years of internal management turmoil, failed partnerships, and declining competitiveness in the EV segment. Nissan also plans to end NV200 van production at its Nissan Shatai facility by March 2027.
Here’s why it matters:
Nissan’s consolidation is a shift toward leaner, more efficient manufacturing that could impact vehicle availability, model offerings, and long-term product planning. As the company reduces excess capacity and focuses on its most competitive products, dealers may experience changes in supply dynamics, particularly in the subcompact and hybrid segments. The closure also underlines Nissan’s renewed urgency to improve profitability and regain global relevance, particularly in electric vehicles, which may influence future product pipelines and brand positioning in the U.S. and abroad.
Key takeaways:
- Nissan will close the Oppama plant by March 2028
The 63-year-old plant in Yokosuka, Japan, will end production and redirect its output to Kyushu, affecting 2,400 workers and several regional suppliers. - Part of a larger global downsizing plan
The closure aligns with Nissan’s strategy to reduce its global factories from 17 to 10 and cut 20,000 jobs, lowering annual output to 2.5 million units. - Historic site of Leaf production
Oppama was the original production site of the Leaf, the world’s first mass-market EV, but had since narrowed its focus to the Note and Aura. - Additional cuts at Nissan Shatai facility
Production of the NV200 van will end at Nissan’s partially owned plant by March 2027, further contributing to the carmaker’s consolidation efforts. - Restructuring follows years of instability
After failed partnerships and leadership turmoil, Nissan is focusing on rebuilding financial stability and streamlining operations ahead of its July 30 earnings report.
