Subscribe Login
Jamaica Observer
ePaper
The Edge 105 FM Radio Fyah 105 FM
Jamaica Observer
ePaper
The Edge 105 FM Radio Fyah 105 FM
    • Home
    • News
      • Latest News
      • Cartoon
      • Central
      • North & East
      • Western
      • Environment
      • Health
      • International
      • #
    • Business
      • Social Love
    • Sports
      • Football
      • Basketball
      • Cricket
      • Horse Racing
      • World Champs
      • Commonwealth Games
      • FIFA World Cup 2022
      • Olympics
      • #
    • Entertainment
      • Music
      • Movies
      • Art & Culture
      • Bookends
      • #
    • Lifestyle
      • Page2
      • Food
      • Tuesday Style
      • Food Awards
      • JOL Takes Style Out
      • Design Week JA
      • Black Friday
      • #
    • All Woman
      • Home
      • Relationships
      • Features
      • Fashion
      • Fitness
      • Rights
      • Parenting
      • Advice
      • #
    • Obituaries
    • Classifieds
      • Employment
      • Property
      • Motor Vehicles
      • Place an Ad
      • Obituaries
    • More
      • Games
      • Jobs & Careers
      • Study Centre
      • Jnr Study Centre
      • Letters
      • Columns
      • Advertorial
      • Editorial
      • Supplements
      • Webinars
    • Home
    • News
      • Latest News
      • Cartoon
      • Central
      • North & East
      • Western
      • Environment
      • Health
      • International
      • #
    • Business
      • Social Love
    • Sports
      • Football
      • Basketball
      • Cricket
      • Horse Racing
      • World Champs
      • Commonwealth Games
      • FIFA World Cup 2022
      • Olympics
      • #
    • Entertainment
      • Music
      • Movies
      • Art & Culture
      • Bookends
      • #
    • Lifestyle
      • Page2
      • Food
      • Tuesday Style
      • Food Awards
      • JOL Takes Style Out
      • Design Week JA
      • Black Friday
      • #
    • All Woman
      • Home
      • Relationships
      • Features
      • Fashion
      • Fitness
      • Rights
      • Parenting
      • Advice
      • #
    • Obituaries
    • Classifieds
      • Employment
      • Property
      • Motor Vehicles
      • Place an Ad
      • Obituaries
    • More
      • Games
      • Jobs & Careers
      • Study Centre
      • Jnr Study Centre
      • Letters
      • Columns
      • Advertorial
      • Editorial
      • Supplements
      • Webinars
  • Home
  • News
  • Latest
  • Business
  • Cartoon
  • Games
  • Food Awards
  • Health
  • Entertainment
    • Bookends
  • Regional
  • Sports
    • Sports
    • World Cup
    • World Champs
    • Olympics
  • All Woman
  • Career & Education
  • Environment
  • Webinars
  • More
    • Football
    • Letters
    • Advertorial
    • Columns
    • Editorial
    • Supplements
  • Epaper
  • Classifieds
  • Design Week
Business, Financials
July 26, 2011

Nissan announces US$8-b China expansion

BEIJING, China — Nissan announced an US$8 billion expansion plan for China yesterday as part of a global strategy to focus on faster-growing emerging markets and reduce reliance on the United States.

Nissan’s plan with its local partner, Dongfeng Group, calls for opening new factories to meet surging demand and introducing 30 new models by 2015. They include a China-produced electric car to be sold under the low-priced Venucia brand that Nissan Motor Co is creating for the Chinese market.

“China is key to our total growth,” said Nissan CEO Carlos Ghosn at a news conference.

Global automakers are looking to China, the biggest auto market by number of vehicles sold, to drive revenue amid weak demand elsewhere. Auto sales in China jumped 32 per cent last year to 18 million vehicles, defying global economic malaise.

Nissan hopes to nearly double its annual sales in China to 2.3 million vehicles by 2015, up from 1.3 million last year, Ghosn said.

The Japanese automaker was a latecomer to the Chinese market but has succeeded with a wide range of offerings, from Infiniti luxury models to the cheaper Venucia brand, said Masataka Kunugimoto, auto analyst at Nomura Securities Co.

“Nissan has scored great success in China,” he said. “Its key strategy in recent years has focused on strengthening its lineup and presence in China.”

Ghosn said Nissan’s China expansion is part of an effort to expand in faster-growing markets. It includes new factories and other initiatives in Russia, Brazil, India and Southeast Asia.

“We used to be extremely dependent on one market — it was the US market,” said Ghosn, who also heads Nissan’s alliance partner Renault SA of France.

The global strategy is “moving Nissan from too much dependence on one region to depending on different pillars and different regions,” he said.

Nissan’s ambitions reflect a broader trend among global automakers, which are creating models for China or incorporating Chinese tastes into global designs. General Motors Co. also has launched its own low-cost China brand, Baojun.

Ghosn said Nissan wants to expand its China market share from 6.2 per cent today to 10 percent by 2015. He said its market share has eroded because its factories cannot meet demand despite operating at full capacity.

“I’m afraid that even with the capacity we announced today, we might be short,” he said.

Ghosn said plans to produce an electric car in China were driven both by expected strong demand buttressed by government promises of subsidies to buyers and other support for clean vehicles and by explicit pressure from Beijing on automakers.

The government has told producers “new energy cars should be under a Chinese brand,” he said.

The first Venucia model is due to go on sale next year.

Nissan plans to export about 40,000 Chinese-made vehicles next year to South Asia, Latin America and other developing markets, Ghosn said. He said that should rise to 80,000 by 2015 but exports would be a small share of production because Nissan needs to meet strong domestic demand.

All development of Venucia-brand vehicles will be carried out in China, where Nissan has a design studio in Beijing and 3,500 employees in research and development. Ghosn said that staff should grow to 6,000 in five years.

Nissan’s plans call for building a new factory in the eastern city of Changhzhou in Jiangsu province.

Another factory for passenger vehicles is due to open next year in Guangzhou in southern China, where Nissan already has one factory. A factory for commercial vehicles is slated to open this year in Shiyan, a city southwest of Shanghai in Hubei province.

Nissan also plans to expand its sales network in China from 1,400 dealerships to 2,400 by 2015, Ghosn said.

{"website":"website"}{"jamaica-observer":"Jamaica Observer"}
img img
0 Comments · Make a comment

ALSO ON JAMAICA OBSERVER

National Trials 2025: Carey McLeod retains long jump title
Latest News, Sports
National Trials 2025: Carey McLeod retains long jump title
June 28, 2025
KINGSTON, Jamaica – Carey McLeod recorded 8.16m (1.0m/s) to retain his men’s long jump title at the JAAA National Senior Championship on Saturday at t...
{"jamaica-observer":"Jamaica Observer"}
National Trials 2025: Rushell Clayton retains women’s 400m hurdles title
Latest News, Sports
National Trials 2025: Rushell Clayton retains women’s 400m hurdles title
June 28, 2025
KINGSTON, Jamaica – Two-time World Athletics Championships medalist Rushell Clayton created a mild upset to retain her women’s 400m hurdles title, run...
{"jamaica-observer":"Jamaica Observer"}
National Trials 2025: Roshawn Clarke wins second 400m hurdles title
Latest News, Sports
National Trials 2025: Roshawn Clarke wins second 400m hurdles title
June 28, 2025
KINGSTON, Jamaica – Roshawn Clarke will get a second chance at a World Athletics Championships medal after he won his second national senior title on ...
{"jamaica-observer":"Jamaica Observer"}
Christopher Jarrett elected JHTA president, promises continued advocacy
Business, Latest News, News
Christopher Jarrett elected JHTA president, promises continued advocacy
June 28, 2025
ST JAMES, Jamaica — Hotelier Christopher Jarrett has been elected as the new head of the Jamaica Hotel and Tourist Association (JHTA). He takes over f...
{"jamaica-observer":"Jamaica Observer"}
Three charged with financial crimes, millions recovered in JCF operations
Latest News, News
Three charged with financial crimes, millions recovered in JCF operations
June 28, 2025
Three men have been arrested and charged with financial crimes following a series of swift and coordinated operations by the Jamaica Constabulary Forc...
{"jamaica-observer":"Jamaica Observer"}
National Trials 2025: Beckford, Taylor win 800m titles
Latest News, Sports
National Trials 2025: Beckford, Taylor win 800m titles
June 28, 2025
KINGSTON, Jamaica – Kelly-Ann Beckford won her first national senior title on Saturday, as she was the first Jamaican to cross the line in the women’s...
{"jamaica-observer":"Jamaica Observer"}
National Trials 2025: Stage set for exciting 110m hurdles final
Latest News, Sports
National Trials 2025: Stage set for exciting 110m hurdles final
June 28, 2025
KINGSTON, Jamaica – The stage has been set for an exciting 110m hurdles final on Sunday’s final day of the JAAA National Championships after some fast...
{"jamaica-observer":"Jamaica Observer"}
National Trials 2025: Mullings lives up to expectation to win discus
Latest News, Sports
National Trials 2025: Mullings lives up to expectation to win discus
June 28, 2025
KINGSTON, Jamaica – Ralford Mullings lived up to expectations as he won the men’s discus throw at the JAAA National Senior Championships on Saturday. ...
{"jamaica-observer":"Jamaica Observer"}
❮ ❯

Polls

HOUSE RULES

  1. We welcome reader comments on the top stories of the day. Some comments may be republished on the website or in the newspaper; email addresses will not be published.
  2. Please understand that comments are moderated and it is not always possible to publish all that have been submitted. We will, however, try to publish comments that are representative of all received.
  3. We ask that comments are civil and free of libellous or hateful material. Also please stick to the topic under discussion.
  4. Please do not write in block capitals since this makes your comment hard to read.
  5. Please don't use the comments to advertise. However, our advertising department can be more than accommodating if emailed: advertising@jamaicaobserver.com.
  6. If readers wish to report offensive comments, suggest a correction or share a story then please email: community@jamaicaobserver.com.
  7. Lastly, read our Terms and Conditions and Privacy Policy

Recent Posts

Archives

Facebook
Twitter
Instagram
Tweets

Polls

Recent Posts

Archives

Logo Jamaica Observer
Breaking news from the premier Jamaican newspaper, the Jamaica Observer. Follow Jamaican news online for free and stay informed on what's happening in the Caribbean
Featured Tags
  • Editorial
  • Columns
  • Health
  • Auto
  • Business
  • Letters
  • Page2
  • Football
Categories
  • Business
  • Politics
  • Entertainment
  • Page2
  • Business
  • Politics
  • Entertainment
  • Page2
Ads
img
Jamaica Observer, © All Rights Reserved
  • Home
  • Contact Us
  • RSS Feeds
  • Feedback
  • Privacy Policy
  • Editorial Code of Conduct