Nissan has cancelled its plans to build an electric vehicle battery factory in Kitakyushu in southern Japan. With an investment volume of approximately 1.1 billion US dollars, the project was set to supply up to five gigawatt-hours of LFP batteries annually from 2028. The Japanese industry ministry had earmarked subsidies of equivalent to more than 381 million US dollars. The car manufacturer cited “a review of investment efficiency” as the reason for the decision to abandon the plans.
Reducing global production capacity by 20 percent
According to media reports, Nissan is planning to cut jobs in Japan at the same time as it is canceling the plant. Several hundred administrative employees are said to be offered early retirement. The company has not yet confirmed this step. Nissan had already announced in March 2025 that it would cut 9,000 jobs worldwide and reduce production capacity by 20 percent.
