Nissan

, trading as Nissan Motor Corporation and often shortened to Nissan, is a Japanese multinational automobile manufacturer headquartered in Nishi-ku, Yokohama, Japan. The company sells its vehicles under the Nissan, Infiniti, and Datsun brands, with in-house performance tuning products (including cars) labelled Nismo. The company traces back to the beginnings of the 20th century, with the Nissan '' zaibatsu'', now called Nissan Group.

Since 1999, Nissan has been part of the Renault–Nissan–Mitsubishi Alliance (Mitsubishi joining in 2016), a partnership between Nissan and Mitsubishi Motors of France. , Renault holds a 43.4% voting stake in Nissan, while Nissan holds a 15% non-voting stake in Renault. Since October 2016 Nissan has held a 34% controlling stake in Mitsubishi Motors.

In 2013, Nissan was the sixth largest automaker in the world, after Toyota, General Motors, Volkswagen Group, Hyundai Motor Group, and Ford. In 2014, Nissan was the largest car manufacturer in North America. With a revenue of $80 billion in 2022, Nissan was the 10th largest automobile maker in the world, as well as being the leading Japanese brand in China, Russia and Mexico.

, Nissan was the world's largest electric vehicle (EV) manufacturer, with global sales of more than 320,000 all-electric vehicles. The top-selling vehicle of the car-maker's fully-electric lineup is the Nissan LEAF, the No. 2 top-selling electric car globally, just behind the Tesla Model 3.

Introduction

Beginnings of Datsun brand name from 1914

Masujiro Hashimoto ( 橋本増治郎) founded the on 1 July 1911 in Azabu-Hiroo district of Tokyo. In 1914, the company produced its first car, called the DAT.

The new car's model name was an acronym of the company's investors' surnames:
*
*
*

It was renamed to Kaishinsha Motorcar Co., Ltd. in 1918, and again to DAT Jidosha & Co., Ltd. (DAT Motorcar Co.) in 1925. DAT Motors built trucks in addition to the DAT and Datsun passenger cars. The vast majority of its output were trucks, due to an almost non-existent consumer market for passenger cars at the time, and disaster recovery efforts as a result of the 1923 Great Kantō earthquake. Beginning in 1918, the first DAT trucks were produced for the military market. At the same time, Jitsuyo Jidosha Co., Ltd. (jitsuyo means practical use or utility) produced small trucks using parts, and materials imported from the United States.

Commercial operations were placed on hold during Japan's participation in World War I, and the company contributed to the war effort.

In 1926, the Tokyo-based DAT Motors merged with the Osaka-based a.k.a. Jitsuyo Jidosha Seizo (established 1919 as a Kubota subsidiary) to become in Osaka until 1932. From 1923 to 1925, the company produced light cars and trucks under the name of Lila. In 1929 DAT Automobile Manufacturing Inc. merged with a separated part of the manufacturing business of IHI Corporation to become Automobile Industries Co., Ltd.

In 1931, DAT came out with a new smaller car, called the Datsun Type 11, the first "Datson", meaning "Son of DAT". Later in 1933 after Nissan Group '' zaibatsu'' took control of DAT Motors, the last syllable of Datson was changed to "sun", because "son" also means "loss" in Japanese, hence the name .

In 1933, the company name was Nipponized to and was moved to Yokohama.

Nissan name first used in 1930s

In 1928, Yoshisuke Aikawa (nickname: Gisuke/Guisuke Ayukawa) founded the holding company Nihon Sangyo (日本産業 Japan Industries or Nihon Industries). The name 'Nissan' originated during the 1930s as an abbreviation used on the Tokyo Stock Exchange for Nihon Sangyo. This company was Nissan " Zaibatsu" which included Tobata Casting and Hitachi. At this time Nissan controlled foundries and auto parts businesses, but Aikawa did not enter automobile manufacturing until 1933.

The zaibatsu eventually grew to include 74 firms and became the fourth-largest in Japan during World War II.

In 1931, DAT Jidosha Seizo became affiliated with Tobata Casting and was merged into Tobata Casting in 1933. As Tobata Casting was a Nissan company, this was the beginning of Nissan's automobile manufacturing.

Nissan Motor organized in 1934

In 1934, Aikawa separated the expanded automobile parts division of Tobata Casting and incorporated it as a new subsidiary, which he named . The shareholders of the new company; however, were not enthusiastic about the prospects of the automobile in Japan, so Aikawa bought out all the Tobata Casting shareholders (using capital from Nihon Industries) in June 1934. At this time, Nissan Motor effectively became owned by Nihon Sangyo and Hitachi.

In 1935, the construction of its Yokohama plant was completed. 44 Datsuns were shipped to Asia, Central and South America. In 1935, the first car manufactured by an integrated assembly system rolled off the line at the Yokohama plant. Nissan built trucks, airplanes, and engines for the Imperial Japanese Army. In November 1937 Nissan moved its headquarters to Hsinking, the capital of Manchukuo. In December the company changed its name to Manchuria Heavy Industries Developing Co (MHID).

In 1940, the first knockdown kits were shipped to Dowa Jidosha Kogyo (Dowa Automobile), one of MHID's companies, for assembly. In 1944, the head office was moved to Nihonbashi, Tokyo, and the company name was changed to Nissan Heavy Industries, Ltd., which the company kept through 1949.

Nissan's early American connection

DAT had inherited Kubota's chief designer, American engineer William R. Gorham. This, along with Aikawa's 1908 visit to Detroit, was to greatly affect Nissan's future. Although it had always been Aikawa's intention to use cutting-edge auto making technology from America, it was Gorham that carried out the plan. Most of the machinery and processes originally came from the United States. When Nissan started to assemble larger vehicles under the "Nissan" brand in 1937, much of the design plans and plant facilities were supplied by the Graham-Paige Company. Nissan also had a Graham license under which passenger cars, buses, and trucks were made.

In his 1986 book '' The Reckoning'', David Halberstam states "In terms of technology, Gorham was the founder of the Nissan Motor Company" and that "young Nissan engineers who had never met him spoke of him as a god and could describe in detail his years at the company and his many inventions."

Austin Motor Company relations (1937–1960s)

From 1934 Datsun began to build Austin 7s under license. This operation became the greatest success of Austin's overseas licensing of its Seven and marked the beginning of Datsun's international success.

In 1952, Nissan entered into a legal agreement with Austin, for Nissan to assemble 2,000 Austins from imported partially assembled sets and sell them in Japan under the Austin trademark. The agreement called for Nissan to make all Austin parts locally within three years, a goal Nissan met. Nissan produced and marketed Austins for seven years. The agreement also gave Nissan the rights to use Austin patents, which Nissan used in developing its own engines for its Datsun line of cars. In 1953, British-built Austins were assembled and sold, but by 1955, the Austin A50 – completely built by Nissan and featuring a new 1489 cc engine — was on the market in Japan. Nissan produced 20,855 Austins from 1953 to 1959.

Nissan leveraged the Austin patents to further develop its own modern engine designs beyond what Austin's A- and B-family designs offered. The apex of the Austin-derived engines was the new design A series engine in 1966. In 1967, Nissan introduced its new highly advanced four-cylinder overhead cam (OHC) Nissan L engine, which while similar to Mercedes-Benz OHC designs was a totally new engine designed by Nissan. This engine powered the new Datsun 510, which gained Nissan respect in the worldwide sedan market. Then, in 1969 Nissan introduced the Datsun 240Z sports car which used a six-cylinder variation of the L series engine, developed under Nissan Machinery (Nissan Koki Co., Ltd. 日産工機) in 1964, a former remnant of another auto manufacturer Kurogane. The 240Z was an immediate sensation and lifted Nissan to world-class status in the automobile market.

100 Day Strike of 1953

During the Korean War, Nissan was a major vehicle producer for the U.S. Army. After the Korean War ended, significant levels of anti-communist sentiment existed in Japan. The union that organized Nissan's workforce was strong and militant. Nissan was in financial difficulties, and when wage negotiations came, the company took a hard line. Workers were locked out, and several hundred were fired. The Japanese government and the U.S. occupation forces arrested several union leaders. The union ran out of strike funds and was defeated. A new labor union was formed, with Shioji Ichiro one of its leaders. Ichiro had studied at Harvard University on a U.S. government scholarship. He advanced an idea to trade wage cuts against saving 2,000 jobs. Ichiro's idea was made part of a new union contract that prioritized productivity. Between 1955 and 1973, Nissan "expanded rapidly on the basis of technical advances supported – and often suggested – by the union." Ichiro became president of the Confederation of Japan Automobile Workers' Unions and "the most influential figure in the right wing of the Japanese labor movement."

Merger with Prince Motor Company

In 1966, Nissan merged with the Prince Motor Company, bringing more upmarket cars, including the Skyline and Gloria, into its selection. The Prince name was eventually abandoned, and successive Skylines and Glorias bore the Nissan name. "Prince" was used at the Japanese Nissan dealership " Nissan Prince Shop" until 1999, when "Nissan Red Stage" replaced it. Nissan Red Stage itself has been replaced as of 2007. The Skyline lives on as the G Series of Infiniti.

Miss Fairlady

To capitalize on the renewed investment during 1964 Summer Olympics, Nissan established the gallery on the second and third floors of the San-ai building, located in Ginza, Tokyo. To attract visitors, Nissan started using beautiful female showroom attendants where Nissan held a competition to choose five candidates as the first class of Nissan Miss Fairladys, modeled after "Datsun Demonstrators" from the 1930s who introduced cars. The Fairlady name was used as a link to the popular Broadway play '' My Fair Lady'' of the era. Miss Fairladys became the marketers of the Datsun Fairlady 1500.

In April 2008, 14 more Miss Fairlady candidates were added, for a total of 45 Nissan Miss Fairlady pageants (22 in Ginza, 8 in Sapporo, 7 in Nagoya, 7 in Fukuoka).

In April 2012, 7 more Miss Fairlady candidates were added, for a total of 48 Nissan Miss Fairlady pageants (26 in Ginza, 8 in Sapporo, 7 in Nagoya, 7 in Fukuoka).

In April 2013, 6 more Miss Fairlady candidates were added to Ginza showroom, for a total of 27 48th Ginza Nissan Miss Fairlady pageants.

Foreign expansion

In the 1950s, Nissan decided to expand into worldwide markets. Nissan management realized their Datsun small car line would fill an unmet need in markets such as Australia and the world's largest car market, the United States. They first showed the Datsun Bluebird at the 1958 Los Angeles Auto Show. The company formed a U.S. subsidiary, Nissan Motor Corporation U.S.A., in Gardena, California in 1960, headed by Yutaka Katayama. Nissan continued to improve its sedans with the latest technological advancements and chic Italianate styling in sporty cars such as the Datsun Fairlady roadsters, the race-winning 411 series, the Datsun 510 and the Datsun 240Z. By 1970, Nissan had become one of the world's largest exporters of automobiles.

In the wake of the 1973 oil crisis, consumers worldwide (especially in the lucrative U.S. market) began turning to high-quality small economy cars. To meet the growing demand for its new Nissan Sunny, the company built new factories in Mexico (Nissan Mexicana was established in the early 1960s and commenced manufacturing in 1966 at the Cuernavaca assembly facility, making it Nissan's first North American assembly plant), Australia, New Zealand, Taiwan, United States (Nissan Motor Manufacturing Corporation USA was established in 1980) and South Africa. The "Chicken Tax" of 1964 placed a 25% tax on commercial vans imported to the United States. In response, Nissan, Toyota Motor Corp. and Honda Motor Co. began building plants in the U.S. in the early 1980s. Nissan's initial assembly plant Smyrna assembly plant (which broke ground in 1980) at first built only trucks such as the 720 and Hardbody, but has since expanded to produce several car and SUV lines, including the Altima, Maxima, Rogue, Pathfinder, Infiniti QX60 and LEAF all-electric car. The addition of mass-market automobiles was in response to the 1981 Voluntary Export Restraints imposed by the U.S. Government. An engine plant in Decherd, Tennessee followed, most recently a second assembly plant was established in Canton, Mississippi. In 1970, Teocar was created, which was a Greek assembly plant created in cooperation with Theoharakis. It was situated in Volos, Greece and its geographical location was perfect as the city had a major port. The plant started production in 1980, assembling Datsun pick-up trucks and continuing with the Nissan Cherry and Sunny automobiles. Until May 1995 170,000 vehicles were made, mainly for Greece.

By the early 1980s, Nissan (Datsun) had long been the best selling Japanese brand in Europe. In order to overcome export tariffs and delivery costs to its European customers, Nissan contemplated establishing a plant in Europe. Nissan tried to convert the Greek plant into one manufacturing cars for all European countries. However, due to issues with the Greek government not only did that not happen but the plant itself was closed. A joint venture with Italy's then state-owned Alfa Romeo was also entered in 1980, leading to Italian production of the Nissan Cherry and an Alfa-badged and motorized version, the Alfa Romeo Arna. After an extensive review, Nissan decided to go it alone instead. The City of Sunderland in the north east of England was chosen for its skilled workforce and its location near major ports. The plant was completed in 1986 as the subsidiary Nissan Motor Manufacturing (UK) Ltd. By 2007, it was producing 400,000 vehicles per year, landing it the title of the most productive plant in Europe.

In 2001, Nissan established a manufacturing plant in Brazil. In 2005, Nissan added operations in India, through its subsidiary Nissan Motor India Pvt. Ltd. With its global alliance partner, Renault, Nissan invested $990 million to set up a manufacturing facility in Chennai, catering to the Indian market as well as a base for exports of small cars to Europe.
Nissan entered the Middle East market in 1957 when it sold its first car in Saudi Arabia. Nissan sold nearly 520,000 new vehicles in China in 2009 in a joint venture with Dongfeng Motor. To meet increased production targets, Dongfeng-Nissan expanded its production base in Guangzhou, which would become Nissan's largest factory around the globe in terms of production capacity. Nissan also has moved and expanded its Nissan Americas Inc. headquarters, moving from Los Angeles to Franklin, Tennessee in the Nashville area.

Alliance with Renault

In 1999, facing severe financial difficulties, Nissan entered an alliance with Renault of France. In June 2001, Renault executive Carlos Ghosn was named chief executive officer of Nissan. In May 2005, Ghosn was named president of Nissan's partner company Renault. He was appointed president and CEO of Renault on 6 May 2009.

Under CEO Ghosn's "Nissan Revival Plan" (NRP), the company has rebounded in what many leading economists consider to be one of the most spectacular corporate turnarounds in history, catapulting Nissan to record profits and a dramatic revitalization of both its Nissan and Infiniti model line-ups. Ghosn has been recognized in Japan for the company's turnaround in the midst of an ailing Japanese economy. Ghosn and the Nissan turnaround were featured in Japanese manga and popular culture. His achievements in revitalizing Nissan were noted by the Japanese government, which awarded him the Japan Medal with Blue Ribbon in 2004.

In February 2017, Ghosn announced he would step down as CEO of Nissan on 1 April 2017, while remaining chairman of the company. He was replaced as CEO by his then-deputy Hiroto Saikawa. On 19 November 2018, Ghosn was fired as chairman following his arrest for the alleged under-reporting of his income to Japanese financial authorities. After 108 days in detention, Ghosn was released on bail, but after 29 days he was again detained on new charges (4 April 2019). He had been due to hold a news conference, but instead, his lawyers released a video of Ghosn alleging this 2018-19 Nissan scandal is itself evidence of value destruction and Nissan corporate mismanagement. In September 2019, Saikawa resigned as CEO, following allegations of improper payments received by him. Yasuhiro Yamauchi was appointed as acting CEO. In October 2019, the company announced it had appointed Makoto Uchida as its next CEO. The appointment would be made "effective" by 1 January 2020 at the latest. On 1 December 2019, Uchida became CEO.

In the U.S., Nissan has been increasing its reliance on sales to daily-rental companies like Enterprise Rent-A-Car or Hertz. In 2016, Nissan's rental sales jumped 37% and in 2017 Nissan became the only major automaker to boost rental sales when the Detroit Three cut back less profitable deliveries to daily-rental companies, which traditionally are the biggest customers of domestic automakers.

In late July 2019, Nissan announced it would lay off 12,500 employees over the next 3 years, citing a 95% year on year net income fall. Hiroto Saikawa, CEO at the time, confirmed the majority of those cuts would be plant workers.

In May 2020, Nissan announced that the company would cut production capacity by 20% due to the COVID-19 pandemic. In mid-2020, the company announced it would shut down factories in Indonesia and Spain, and would exit the South Korean car market. Nissan announced that the Infiniti brand will be pulled out from South Korea as well alongside the Nissan brand by December due to worsening business environment amidst the pandemic and the 2019 boycott of Japanese products in South Korea. Nissan announced that service centers will be managed to provide after-sales services such as vehicle quality assurance and parts management for eight years. In November 2020, Nissan announced a $421 million loss in the last quarter due to the COVID-19 pandemic and the scandal concerning Ghosn. According to a spokesperson of Nissan North America, the company had suffered from a strategy of "volume at any cost", which has been attributed by analysts to Ghosn.

New technologies

Nissan's first final assembly robots were installed in the Murayama plant (where the then-new March/Micra was assembled) in 1982. In 1984 the Zama plant began to be robotized; this automation process then continued throughout Nissan's factories.

Nissan electric vehicles have been produced intermittently since 1946. In 2010 the Nissan Leaf plug-in battery electric vehicle was introduced; it was the world's most sold plug-in electric car for nearly a decade. It was preceded by the Altra and the Hypermini. Until surpassed by Tesla, Nissan was the world's largest electric vehicle (EV) manufacturer, with global sales of more than 320,000 all-electric vehicles as of April 2018.

Relationships with other car companies

;Ford Motor Company
In Australia, between 1989 and 1992, Nissan Australia shared models with Ford Australia under a government-backed rationalisation scheme known as the Button Plan, with a version of the Nissan Pintara being sold as the Ford Corsair and a version of the Ford Falcon as the Nissan Ute. A variant of the Nissan Patrol was sold as the Ford Maverick during the 1988–94 model years.

In North America, Nissan partnered with Ford from 1993 to 2002 to market the Ohio-built Mercury Villager and the Nissan Quest. The two minivans were virtually identical aside from cosmetic differences. In 2002, Nissan and Ford announced the discontinuation of the arrangement.

In Europe, Nissan and Ford Europe partnered to produce the Nissan Terrano II and the badge-engineered Ford Maverick, a mid-size SUV produced at the Nissan Motor Ibérica S.A (NMISA) plant in Barcelona, Spain. The Maverick/Terrano II was a popular vehicle sold throughout Europe and Australasia. It was also sold in Japan as a captive import, with the Nissan model marketed as the Nissan Mistral.

;Volkswagen
Nissan licensed the Volkswagen Santana. Production began in 1984, at Nissan's Zama, Kanagawa plant, and ended in May 1990.

;Alfa Romeo
From 1983 to 1987, Nissan cooperated with Alfa Romeo to build the Arna. The goal was for Alfa to compete in the family hatchback market segment, and for Nissan to establish a foothold in the European market. After Alfa Romeo's takeover by Fiat, both the car and cooperation were discontinued.

;General Motors
In Europe, General Motors (GM) and Nissan co-operated on the Nissan Primastar, a light commercial vehicle. The high roof version is built in the NMISA plant in Barcelona, Spain; while the low roof version is built at Vauxhall Motors/ Opel's Luton plant in Bedfordshire, UK.

In 2013, GM announced its intentions to rebadge the Nissan NV200 commercial van as the 2015 model year Chevrolet City Express, to be introduced by the end of 2014. Holden, GM's Australian subsidiary, sold versions of the Nissan Pulsar as the Holden Astra between 1984 and 1989.

;LDV
LDV Group sold a badge-engineered light commercial vehicle version of the Nissan Serena as the LDV Cub from 1996 to 2001. The Nissan equivalent was marketed as the Nissan Vanette Cargo.

Alliance with Renault and Mitsubishi

In 1999, facing severe financial difficulties, Nissan entered an alliance with Renault of France. Signed on 27 March 1999, the ''Renault-Nissan Alliance'' was the first of its kind involving a Japanese and French car manufacturer, each with its own distinct corporate culture and brand identity. Renault initially acquired a 36.8% stake in Nissan for $3.5 billion pending court approval and Nissan permanently vowed to buy into Renault when it was financially able. In 2001, after the company's turnaround from near-bankruptcy, Nissan acquired a 15% share of Renault, which in turn increased its stake in Nissan to 43.4%.

The Renault-Nissan Alliance has evolved over the years to Renault holding 43.4% of Nissan shares, while Nissan holds 15% of Renault shares. The alliance itself is incorporated as the Renault-Nissan B.V., founded on 28 March 2002 under Dutch law. Renault-Nissan B.V. is equally owned by Renault and Nissan.

On 7 April 2010, Daimler AG exchanged a 3.1% share of its holdings for 3.1% from both Nissan and Renault. This triple alliance allows for the increased sharing of technology and development costs, encouraging global cooperation and mutual development.

On 12 December 2012, the Renault–Nissan Alliance formed a joint venture with Russian Technologies (Alliance Rostec Auto BV) with the aim of becoming the long-term controlling shareholder of AvtoVAZ, Russia's largest car company and owner of the country's biggest selling brand, Lada. The takeover was completed in June 2014, and the two companies of the Renault-Nissan Alliance took a combined 67.1% stake of Alliance Rostec, which in turn acquired a 74.5% of AvtoVAZ, thereby giving Renault and Nissan indirect control over the Russian manufacturer. Ghosn was appointed chairman of the board of AvtoVAZ on 27 June 2013. In September 2017, Nissan sold its AvtoVAZ stake to Renault for .

Taken together, in 2013 the Renault–Nissan Alliance sold one in ten cars worldwide, and would be the world's fourth largest automaker with sales of 8,266,098 units.

Other alliances and joint ventures

* In 2003, Nissan and Dongfeng Motor Group formed a 50:50 joint venture with the name Dongfeng Motor Co., Ltd. (DFL). The company calls itself "China's first automotive joint venture enterprise with a complete series of trucks, buses, light commercial vehicles and passenger vehicles," and "the largest joint-venture project of its scale."
* On 7 April 2010, Daimler AG exchanged a 3.1% share of its holdings for 3.1% from both Nissan and Renault. This triple alliance allows for the increased sharing of technology and development costs, encouraging global cooperation and mutual development.
* On 12 December 2012, the Renault–Nissan Alliance formed a joint venture with Russian Technologies (Alliance Rostec Auto BV) with the aim of becoming the long-term controlling shareholder of AvtoVAZ, Russia's largest car company and owner of the country's biggest selling brand, Lada. Carlos Ghosn was appointed chairman of the board of AvtoVAZ on 27 June 2013. Nissan exited the AvtoVAZ venture in September 2017.
* Nissan is in an alliance with Ashok Leyland in India, producing light commercial vehicles.
* Together with Mitsubishi Motors

HOME


Content is Copyleft
Website design, code, and AI is Copyrighted (c) 2014-2017 by Stephen Payne


Consider donating to Wikimedia



As an Amazon Associate I earn from qualifying purchases