(Bloomberg) -- Nissan Motor Co. said it will cease production at a plant in China amid slumping sales in the world’s biggest automotive market.

“Dongfeng Nissan has ceased production at our Changzhou plant and this is part of our optimization,” the Japanese carmaker said in a statement Friday. 

Nissan’s sales in China slumped 10% to just 54,921 units in April from the same period of 2023 amid intensifying competition from local players like BYD Co. 

To compete in China, Nissan has said it plans to roll out eight new-energy vehicles and start exporting cars made in the country from 2025, with the aim of shipping 100,000 vehicles annually.

Nissan is targeting annual sales in China of 1 million units by March 2027, from about 800,000 cars a year now.

Earlier on Friday, Nikkei reported that with the closure of its plant in Changzhou, Nissan will cut annual production by around 130,000 units, or more than 8% of its output in the country.

 

 

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