Surprising decision from automotive giant: Withdrew from its largest market

Nissan, which has been active in the South African market for nearly 60 years, has announced that it will cease production at its Rosslyn assembly plant near the city of Pretoria. As part of its global restructuring efforts, the company has reached an agreement to sell its production facility in the region to Chery Automobile.

This decision is among the steps Nissan is taking to use its financial resources more effectively and increase its operational efficiency.

Company officials, citing cash flow difficulties, stated that they would abandon local production in South Africa and switch solely to an import model.

Production of the Nissan Navara, the only model currently produced in Rosslyn, will be halted shortly. Nissan plans to meet the demand for the Navara and similar pickup trucks through imports from Thailand.

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While the process of transferring the facility to Chery is ongoing, the economic impacts and financial dimensions of the transaction have not yet been clarified. However, it has been stated that approximately 900 Nissan employees will continue to be employed in the new period with their current rights and conditions protected.

This development is consistent with Nissan's policy of closing or merging seven of its 17 facilities worldwide as part of its global transformation plan. With the sale of the Rosslyn factory, the long-standing uncertainties regarding the future of the facility have also come to an end.

News Source: 12punto