Nissan to cut loss-making exports, boost Japan sales

Reuters (Yokohama) - Nissan Motor Co said on Sunday it aimed to boost its sales in Japan in a move that would also help reduce exports by as much as a third and reduce the impact of the yen's crippling strength.

The US dollar's plunge below 80 yen (S$1.23) to near record lows has hit profits at Japanese automakers such as Nissan, which exported 610,000, or 57 per cent, of its domestically produced vehicles last year.

Despite the headwinds from tough exchange rates, high labour costs and risks of disruption from earthquakes, Nissan has vowed to keep production of at least one million vehicles a year in Japan to protect jobs and hone its manufacturing expertise.

By selling more cars in Japan and building more vehicles for other brands under original equipment manufacturing (OEM) deals, Nissan aims to boost production of vehicles sold locally in Japan from 460,000 vehicles last year to 600,000, executive vice president Hiroto Saikawa said.