Nissan postpones plans to build a battery factory in Japan due to financial woes

Nissan recently confirmed that it's scrapping its plans to build a battery factory for its EVs due to ongoing financial hurdles. The company was supposed to build a new LFP battery plant in Japan and even received approval from the government in September last year.

However, Nissan's financial situation looks grim. The company reported a $5.2 billion loss for the fiscal year ending March 2025 and is looking to slash its workforce by a whopping 15%.

Nissan hasn't abandoned its plan to establish a battery supply chain entirely, but the planned $1 billion factory, subsidized by Japan's government with $384 million, seems unlikely at this point. The plant was supposed to cut down the production cost of Nissan's smaller EVs by up to 30% with an annual capacity of 5 GWh.

Nissan's hopes remain on the upcoming next-gen Leaf, which is supposed to arrive by the end of this year.

Via