Nissan Philippines closing their assembly operations

[jpdm]

After Ford, Nissan affiliates Universal Motors and Nissan Motor Philippines Inc. are closing down their assembly plants in the country.



Nissan Motor consolidates operations here

(edited)

by Bernie Magkilat
December 17, 2013

Nissan Motor Co., Ltd. (NML) yesterday announced the establishment of Nissan Philippines, Inc. (NPI), a new joint venture formed with long time partners Universal Motors Corporation (UMC) and Nissan Motor Philippines, Inc. (NMPI), with a capitalization of $9.8 million as it consolidates sales and marketing operations in an effort to shore up its standing in the growing domestic market.

A source privy to the plan said its existing two affiliates Universal Motors Corp. (UMC) and Nissan Motor Philippines Inc. (NMPI) will become mere stockholders and dealers of Nissan vehicles.

According to the source, the Japanese carmaker’s plan to become a mere trader was encouraged by the robust domestic motor vehicle market, which is expected to hit 210,000 units this year.

The source said that Nissan Japan executives are in the country to finalize the incorporation process. The new local firm is tentatively called Nissan Marketing Philippines.

Under the plan, NMPI, which is Nissan’s partnership with Yulon Motors of Taiwan, and UMC, which is owned by the Lee family, will become stockholders of the new Nissan Japan outfit.

Nissan Japan, however, will no longer allow the assembly of its models in the country but import a lot of products as completely built up packs, the source said.

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[K.I.L.L.]

I'm not surprised. We're not a manufacturing country. We're importers of goods and exporters of services.

[vinj]

If they want to be competitive and survive, they have to play the trading game just as Ford did.

[badkuk]

anong models yung locally assembled? Urvan? Bravo pickups?

[vinj]

^ AFAIK, Urvan, Frontier Bravo and the Almera.

[Monseratto]

Having a assembly plant has no advantage in selling cars. Mas mura pa mag import. Wala naman incentive binibigay si BS Aquino to do so.

[badkuk]

Having a assembly plant has no advantage in selling cars. Mas mura pa mag import. Wala naman incentive binibigay si BS Aquino to do so.

the last power rate hike could have been the last straw

[uls]

support the local auto industry yey!