Nissan, one of Japan’s big three carmakers, is going out of business.
The cash flow on their books will only last for 12-14 months, and if no new money comes in, they will die.
Founded in 1933, Nissan has 91 years of history, has a wealth of automotive manufacturing experience and mature production lines.
In 2019, Nissan sold 5.18 million units worldwide.
In 2020, Nissan ranked third in global sales after Volkswagen and Toyota, and 83rd among the world’s Top 500 companies.
For a time, the scenery unlimited. And now, all of a sudden, it’s going bankrupt? Let’s talk about that today, and by the way, how Japan’s most proud auto industry is on its way to decline. Go out often ride the friends will find that a few years ago when the taxi, to the basic is Nissan Xuan Yi.
And Now? The Masters were replaced by GAC, Eyne and BYD Company. Why did you use Nissan to book a ride before?
Because of fuel economy, a few hundred kilometers of gas, for a day to run a hundred kilometers, a year to run 100,000 kilometers of online car drivers, fuel consumption is of course their most concern.
Secondly, that is, in everyone’s inherent perception, Japanese cars are more convenient, AH, is not there a bad driving Toyota, driving a bad Nissan this kind of argument? Open net to ride the masters, is to rely on the car to make money to support the family, if open two days, the car lie down, then how to complete ah? Therefore, for the vehicle reliability is also an aspect of their concern.
But with the advent of the new energy age, huge waves to Nissan to the dead on the beach. I thought you saved gas? Sorry, new energy doesn’t need gas money at all, just charge it.
How much is the electricity and how much is the gas? No fuel-efficient car can save as much as a trolley car. As for reliability, at the beginning of the Japanese car is indeed a lot of people believe in the totem.
But with these years, the Japanese car is not the gas consumption fraud, is the tire data fraud. This year, it was even exposed that the five major car companies in the vehicle certification test link, collective fraud, falsification of crash test data, murder for money shocking scandal.
Even more chilling, Japanese companies have responded by bowing and apologising. Come out and bow when something happens, and apologize when something happens. Japanese craftsmanship, but also into the”Spirit of Handcraft.”. Now directly is”Bow fairy”.
If bowing helps, why do we need the police? In recent years, Japanese car companies have quality problems, safety fraud, is not an isolated case, but has become the norm. The myth of Japanese cars has long since been shattered.
And as a car all day to deal with the online ride-hailing drivers, those days on the internet even if they are talking about the sky-high, can they understand the car? You Can Brag about the Japanese system, ride a chinese-made car, call Jády a name. Don’t forget, it’s a guy’s job to eat for a living.
They know which car is the best and which is the most reliable. At the same time, will be the first time with practical action to pay the bill.
Ride-hailing 2023 increased 74 percent, with brands such as BYD and Gac-ahn taking the lion’s share, according to the association. It is useless to say that consumers use real money to pay the bill, is the most effective recognition. And through the analysis of the choice of ride-hailing drivers, we can also point to face, know why Nissan lost competitiveness in the past two years.
Because of the natural fuel car fuel consumption short board, because of frequent accidents, will only bow product problems. These are two things that Nissan would have a hard time changing. So what do we do? There is only a price war. So when we look at the Nissan Data Report, we will find a very strange thing.
In the first three quarters of 2024, Nissan sold 2,505,800 cars worldwide, up 0.4% . Sales are up a little bit from last year, so why say cash flow can’t hold up, going out of business? Because of profits.
In the second quarter, Nissan’s net profit fell 99% from a year earlier, plunging from Y128.6 bn to Y995M. By the third quarter it was even worse, turning into a loss of Y9.3 billion. Nissan sold 809,000 cars worldwide in the third quarter. Sold 800,000 cars, cars sold so many, and even lost money. On average, Nissan loses money on every car it sells. The more cars you sell, the more money you lose.
What do you think? Isn’t that a loss leader? And the essential reason for all this is because of the price war. Japan’s two biggest markets are the United States and China, with 26.6 percent and 23.5 percent, respectively. The United States and China together account for more than half. However, in the United States, there are Tesla, in China, there are dozens of new energy vehicle companies eyeing.
If Nissan wants to compete with them, it will have no choice but to cut prices and fight a price war. Nissan Jinke this model directly fell from 200,000 to 60,000-70,000 yuan, price reduction of about 70% . Also, the Nissan X-Trail Price has been reduced by as much as 60,000 yuan. But even with such a big price war.
In the third quarter, Nissan sold 172,000 vehicles in China, down 12.5% from a year earlier, a double-digit decline. In the U. S. , Nissan was down 0.2% even though it stopped the slide. Nissan’s market share is still being eroded by price wars, plummeting profits and even losing money.
Nissan is a joint-stock company. You are a shareholder. What do you think when you see that the company is losing money but there is no hope for the future? That must be to hurry to sell the stock in hand, hurry to escape Ah. The building will fall, don’t fall on me. As a result, Nissan’s share price has fallen more than 40 per cent this year. In this case, Nissan’s fate was sealed.
Of course, Nissan, as a 1991 auto company, they are not willing to wait to die. And the fall of Nissan was a huge blow to the entire Japanese auto industry. So just today, the Japanese media reported that Honda and Nissan are in talks about business integration.
The two sides discussed setting up a holding company and bringing their respective companies under their control. In the cold winter conditions in the market, the two Japanese auto giant plans to join the group heating. In the short term, though, Nissan’s shares rallied on the news. But Honda is no better off on its own.
In the past three quarters, Honda’s net profit plunged 61% to $656 million. Although it is still making money, Honda’s net profit will be negative in the first half of this year and next year at the earliest.
By that time, it would not be a problem for the two companies to keep warm, but for the two companies to hold hands and jump into the river together.
As we all know, the automobile is Japan’s pillar industry, has driven the Japanese economy brilliant. Japan’s auto industry employs 5.52 m people, or 8.3 per cent of total employment.
There are many restaurants, laundries and pedicures near the car factory. That 5m, in turn, has created more than zero jobs. Therefore, the automobile industry has been the largest economic pillar industry in Japan, accounting for nearly 40% of the entire industrial output value, pivotal.
If the car falls, it will be a catastrophe for Japan, not a lost 30 years.
And for us, Japan fell, China Fed, China’s car shine era, the official arrival! Images from the network