More evidence that the marginal consumer is tapped out. Combine that with ruinously expensive EV mandates and you’ve got a perfect storm that can take down a longstanding auto manufacturer.
A new report suggests that the automaker’s days are numbered. In an interview with the Financial Times, two unnamed Nissan executives said the company has “12 to 14 months to survive.” “This is going to be tough. And in the end, we need Japan and the US to be generating cash,” they said.
Slow sales in the US and Japan prompted Nissan to cut more than 9,000 jobs earlier this month, while simultaneously slashing production by nearly 20 percent. Nissan’s operating profit dropped 85 percent in the third quarter, with the company earning a net loss of ¥9.3 billion ($60.1 million at today’s exchange rate).
They are intentionally destroying capacity to increase price.
They can’t overtly destroy demand; people have some concept of a right to travel. But, they can destroy ICE supply leaving only Chinese EV’s.
The American people just put that plan on the garbage heap.
All part of the Liberal/Democrat plan to move people on to public transit
Most auto execs:
“Hmm, seems inflation has tapped everybody out. I know! Instead of making a cheap car everybody can afford, let’s make overpriced SUVs and EVs!”
Pure genius.
The only car I ever bought new was a Nissan versa. Special ordered with a manual transmission, hand crank windows, no radio. 13″ steel wheels. I hated the ugly little thing, painfully slow, but the manual helped. Perfect when I lived in Chicago -easy parking, not worth stealing. Think I paid $11k
Checked a few years ago, prices almost double. and horrible reliability ratings
Auto execs are as owned as politicians.
They are following orders.
2008-9 was not an accident.
https://www.fool.com/investing/general/2009/08/26/7-investors-who-profited-from-the-crash.aspx
Just based on anecdotal experience – on my street in Regina, there are quite a few City of Regina Houses for the “poor”. These “poor” have SUV’s and large pick-up trucks parked in their driveways, but somehow cannot afford market rent on their homes. As well, City of Regina passed a bylaw 2 winters ago, making it mandatory that the city sidewalks be shoveled within 24 hours of a snowfall. I am 72 now and am out shoveling my driveway and then the city sidewalk and my neighbors who have always shoveled, do the same. But somehow, the “poor” who can afford payments on SUV’s and large pick-up trucks cannot afford a shovel for the winter and cannot afford to mow their lawns which become a sea of weeds in the summer. It’s a mystery!
“Unnamed Nissan Executives” How many shares at they shorting right now?
Interestingly, on their cash flow report for September, it looks like they took a huge drubbing on their investments, losing over $245 billion. What were they investing in to burn that much cash?
Datsun effed up when they changed the name to Nissan, and they never fully recovered.
They changed their name from Datsun in the hope of fooling consumers that they weren’t Datsuns. First car was a Datsun constantly required brake repairs, radiator fluid top offs and it rusted though in 5 years. Their dealers weren’t to be trusted. Never ever considered another Datsun/Nissan.
Did you hear about the explosion at the Japanese auto factory? It was raining Datsun cogs!
Company went downhill when Renault became partial owners.
That, and Nissan has embraced CVT transmissions throughout their lineup. Garbage, unreliable, throwaway units, never buy ANY car with a CVT.
You’re right about the CVT transmissions . That’s one of the reasons I left Honda, that and their shitty dealerships that are always trying to blatantly rip you off. Now honda has to deal with millions of engines that are failing. Honda may be one of the marques that is in trouble. Jeep Ram for sure.
Danny CB
I see you ain’t NO technical genius.
Was in the market for a mid-sized SUV few years ago. Needed to be able to tow small loads, was never going to go off road. Was really interested in a Murano – CVT killed the deal.
Correct! Jeeps also use the same CVT transmission (Made by Jatco), on the Patriot and others. I had a friend that used to work in the parts department at Nissan, his office was overflow storage for the replacement CVT transmissions they kept in stock, stacked like cord wood in their little shipping containers. They would simply pull the unit and replace it with a serviceable one and return it to Nissan, wouldn’t even try fixing them, replace and send for overhaul…
One of the local auto shops has a brand new nissan as a company car, it has a variable CRANK shaft, like variable valve timing, but attached to the crankshaft, can vary compression and timing, etc.. How long is THAT gonna last?!
No, thank you!
My family has had lots of Datsun/Nissan/Infiniti cars over the last 45 years or so. There wasn’t one lemon in the bunch.
Yeah, I has a Maxima for a while and had absolutely zero major issues. Solid car.
Yes. I had Maximas as well. Incredibly solid car. The 3.5L v6 was something else.
I’ve been driving my G35 for close to 20 years now. The only issue I have is that it is beginning to show rust near the wheel wells from years of enduring salt roads.
Let’s All Be Bud Light.
Any leader of a consumer product manufacturer that allows the government to tell him how to run his business should be shown the door.
I just traded in my 2015 Pathfinder for a Genesis GV80 SUV… because I deserve it.
However, I have to say the Pathfinder was excellent.
I towed my travel trailer 12,000 kms to altitudes of 9,600 ft through 14 States in 30 days with nary a hiccup – and the CVT transmission handled it all well.
I just hope this 2021 Genesis, with all its electronics and complex systems performs as well as the Pathfinder did. Because I know will be very expensive to fix, if it’s not.
I won’t afford a car payment in this shit inflationary economy. Any questions all you high paid exec’s. and GS 19’s? GFY
Your Haarvard degree didn’t produce a damn thing useful.
WE bought my wife a new car a couple of months ago, a 2024 Elantra, $23,000 CDN plus taxes, as there is more than one tax on cars in canada. Not an EV and not a hybrid.