Nissan Philippines – one of the Top 3 foreign carmakers operating in the country – is winding up all activities in its assembly plant in Santa Rosa City, Laguna next month.
Senior officials in Nissan PH’s parent company in Japan are said to have arrived at the decision – that will send the 133 workers into the jobless sector – after its sales volume last year plummeted to an unmanageable level owing to pandemic-related causes, rendering continued operations in said plant financially impractical.
It was clarified however that Nissan, which entered the Philippine market in 1969, will still maintain a presence with its marketing arm that will be selling imported units from Thailand and Japan.
Trade department officials said the move was anticipated as Nissan had already hinted it might downsize due to its low market share estimated at only one percent of the 2020 volume.
Last February 2020, Honda Cars Philippines closed its production set-up also in Santa Rosa City because it wasn’t profitable anymore after some 28 years.
With the shuttering of the Honda and Nissan plants, sources said the Santa Rosa LGU is actually the biggest loser in terms of hundreds of millions in tax revenues being paid by the multinationals.