Nissan adjusts production in July due to chip shortage

Nissan’s Oppama plant, another domestic assembly plant located in Kanagawa, has been adjusting production since mid-May by operating without a night shift and will continue to do so in July, the sources said.

“Due to the global chip shortage, Nissan is adjusting production and is taking necessary actions to ensure recovery,” a Nissan spokesperson said, without elaborating.

Nissan, like other automakers, has been making production adjustments because of a worldwide chip supply crunch. The automaker has said the shortage will likely affect the production of 500,000 vehicles this year.

The automaker’s chief executive Makoto Uchida told shareholders at the annual general meeting earlier on Tuesday that the company was minimising the negative impact of the chip shortage.

He added that Nissan was trying to make up for the production loss within the financial year and to take action to ensure stability in its supply of parts.