Toyota Reportedly Intends to Save Nissan from Financial Crisis

KatadataOTO – Nissan is on the verge of bankruptcy. A financial crisis is one of the main culprits.

The manufacturer from Japan has tried various methods. Such as pursuing a merger with Honda.

On December 23, 2024, Nissan and Honda signed a memorandum of understanding to explore the possibility of a merger.

However, the negotiations reached a dead end. On February 13, 2025, they officially went their separate ways.

Photo : Honda

The reason was that Nissan refused to become a subsidiary of the manufacturer with the upright H logo. Therefore, they halted the negotiation process.

Meanwhile, amidst news of the failed merger between the two Japanese automotive giants, Toyota is rumored to have opened communication with Nissan.

Quoting the Motor1 page on Tuesday (20/05), Toyota is said to be looking for new opportunities for cooperation with Nissan.

"According to the Japanese national media, Mainichi Shimbun, as quoted by Automotive News, a Toyota executive allegedly contacted Nissan about a possible alliance," the report stated.

Unfortunately, both manufacturers have not yet been willing to confirm the news. However, Ivan Espinosa, CEO of Nissan, said that they are open to all cooperation opportunities.

But their main priority now is to stabilize the company's financial condition first.

It is worth noting that Toyota has acquired a number of shares in Japanese car manufacturers in recent years.

For example, 20 percent of Subaru's shares, 5.1 percent in Mazda, 4.9 percent in Suzuki, and 5.9 percent in Isuzu.

Thus, the rumor that Toyota wants to save Nissan from bankruptcy could be true. However, there has been no official statement from either party.

20 Thousand Workers Threatened with Layoffs

As previously reported by KatadataOTO, Nissan plans to improve efficiency. One way is by laying off 10 thousand workers worldwide.

With the number above, Nissan will lay off 20 thousand people or about 15 percent of their total global workforce.

This will take place during the 2024 fiscal year, from April 1, 2024, to March 31, 2025.

Photo : KatadataOTO

Whereas in early March, Nissan's losses were estimated at only around 80 billion yen or the equivalent of Rp 8.97 trillion.

The company's condition has worsened. Forcing it to cut its number of employees.

It doesn't stop there; Nissan's worsening condition has also led them to plan the closure of three production facilities in Thailand and other countries.