{"id":22395,"date":"2026-11-12T18:37:27","date_gmt":"2026-11-12T18:37:27","guid":{"rendered":"https:\/\/supplychaintechnology.co.uk\/?p=22395"},"modified":"2026-11-12T18:37:27","modified_gmt":"2026-11-12T18:37:27","slug":"nissan-reports-tough-market-conditions-in-china","status":"publish","type":"post","link":"https:\/\/supplychaintechnology.co.uk\/?p=22395","title":{"rendered":"Nissan Reports Tough Market Conditions in China"},"content":{"rendered":"<p>Nissan has <a href=\"https:\/\/www.theguardian.com\/business\/2026\/nov\/11\/nissan-reduces-petrol-car-production-as-ev-sales-boom-in-china\" target=\"_blank\" rel=\"noopener noreferrer\">slashed its sales forecasts for China<\/a>, where a faster-than-expected adoption of battery electric vehicles (BEVs) has put it in a disadvantageous market position, reports <i>The Guardian<\/i>.<\/p>\n<p>The Japanese carmaker said it would cut back on manufacturing gas-powered cars, and would increase production of BEVs and plug-in hybrids.<\/p>\n<p>\u201cSales momentum remains strong in the U.S. and Japan, with the outlook for both markets revised upward,\u201d said Nissan in its <a href=\"https:\/\/usa.nissannews.com\/en-US\/releases\/nissan-reports-first-half-progress-reaffirms-full-year-financial-outlook\" target=\"_blank\" rel=\"noopener noreferrer\">financial results<\/a> for the six months ended September 30, 2026, released November 11. \u201cChina, however, presents a significantly different picture. Weaker demand, a faster-than-anticipated shift to NEVs [new energy vehicles, which include hybrids] and intensifying competition are putting greater pressure on sales than initially anticipated.\u201d As a result, Nissan revised its 2026 global sales outlook from 3.15 million units to 2.97-3 million units.<\/p>\n<p>Nissan recorded global sales of 1.41 million units and consolidated net revenue of \u00a56.072 trillion ($38 billion), up \u00a5493.3 billion over the prior year. Operating profit improved by \u00a5107.7 billion to \u00a580.0 billion, supported by ongoing structural improvements and Re:Nissan cost reductions. Net income improved by \u00a5182.2 billion year on year.<\/p>\n<p>Government subsidies for automakers building cars running on fuels other than gasoline prompted a huge increase in supply, swamping the domestic market as China has failed to see predicted economic growth become reality. As a result, China has been vigorously pursuing markets elsewhere, <a href=\"https:\/\/www.supplychainbrain.com\/general-scm\/global-trade-economics\/article\/15883224\/china-will-curb-hybrid-car-sales-in-eu\" target=\"_blank\" rel=\"noopener noreferrer\">especially in Europe<\/a>, where it is threatening the viability of incumbent auto giants such as Volkswagen and BMW. In October, China with the EU to \u201chalve\u201d its sales of hybrid cars in the bloc in a landmark deal that is aimed at staving off the demise of parts of the European car industry,<\/p>\n<p>The U.S. has so far barred the sale of Chinese vehicles of any kind in its domestic market.<\/p>\n<p>Read More: <a href=\"https:\/\/www.supplychainbrain.com\/general-scm\/global-supply-chain-management\/article\/15883104\/automakers-warn-against-giving-china-foothold-in-us-market\" target=\"_blank\" rel=\"noopener noreferrer\"><span><strong>Automakers Warn Against Giving China Foothold in U.S. Market<\/strong><\/span><\/a>\u00a0<\/p>","protected":false},"excerpt":{"rendered":"<p>Nissan has slashed its sales forecasts for China, where a faster-than-expected adoption of battery electric&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false}}},"categories":[13],"tags":[],"class_list":["post-22395","post","type-post","status-publish","format-standard","hentry","category-education"],"jetpack_publicize_connections":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.3 - 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