Nissan will scale back efforts in Europe to focus elsewhere, report says

The plan will reportedly allow Nissan to cut costs, but also allocate resources into core markets such as the US, China and Japan.

Sean Szymkowski
It all started with Gran Turismo. From those early PlayStation days, Sean was drawn to anything with four wheels. Prior to joining the Roadshow team, he was a freelance contributor for Motor Authority, The Car Connection and Green Car Reports. As for what's in the garage, Sean owns a 2016 Chevrolet SS, and yes, it has Holden badges.
Sean Szymkowski
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Shifting resources will likely mean a greater focus on the US.


reportedly has big plans to turn its ship around globally, and they'll likely include a refocus on core markets at the expense of others. In particular, Nissan will scale back its efforts in Europe big time.

Reuters reported Monday on the first details that will be included in a turnaround plan developed for Nissan. Numerous sources close to the plan spoke on its contents, but the automaker declined to comment on the reported information and told Roadshow it plans to release more information on May 28.

In a nutshell, this plan appears to reverse course on Nissan's aggressive expansion, which former CEO -- and now international fugitive -- Carlos Ghosn oversaw. Nissan will reportedly retreat from the Europe and maintain a much smaller presence with a targeted lineup. It's worth noting Nissan's premium division, , exited western Europe already.

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With resources freed up, the company will double down on the US, China and Japan and rely on its alliance partners, France's Renault and Japan's , to support it. Renault will focus on Europe, while Mitsubishi will tackle emerging Asian markets with electrified cars. These technologies should support Nissan as it focuses on the US and major Asian markets.

Overall, Nissan will reduce research and development expenditures, but throw extra resources at the most important countries it does business in. In the US, the automaker will reportedly focus on lifting its image from a bargain brand as it focused on volume growth for years, which decidedly dinged perception. Rental and fleet business will decline and a slew of new cars will soon launch to freshen the brand's rather aging lineup. We know a new Rogue is on the way and expect an electric SUV based on the Ariya concept to come soon, too.

Annual global production volumes will likely fall by a couple million units, which may translate to plant closures and shift cuts.

The information underscores previous rumors Nissan began taking a serious look at becoming a much smaller automaker in the past month to secure its future. One source told Reuters this plan, which still needs finalizing, will "plant seeds" for future success.

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