Nissan denies report on 15 percent production cut

Nissan denied a report by the Nikkei that it is planning to cut global output by 15 percent for the fiscal year to March 2020, even as the automaker struggles to reignite earnings and sales while dealing with the fallout from the arrest of ex-chairman Carlos Ghosn.

Nissan is shifting away from the aggressive expansion campaign promoted by Ghosn as it battles weak sales in overseas markets including the United States where it plans to scale back sales operations, the Nikkei reported on Friday, Automotive News reads.

Nissan aims to produce about 4.6 million units in fiscal 2019-2020, the Nikkei said, citing plans being communicated to the automaker’s suppliers.

Output in Japan will remain basically unchanged at more than 900,000 units, while overseas production will fall by 20 percent to around 3.7 million vehicles, the Nikkei reported.

Nissan issued a rare response calling the details in the report “completely incorrect,” saying that it lodged a protest with the newspaper over its coverage.