- Introduction
- Infiniti and beyond
- Rising gas prices drive U.S. market breakthrough
- Nissan’s turnaround and the rise of electric vehicles
- Scandal, strategy, and a bold new venture
Nissan Motor Co., Ltd.
- Introduction
- Infiniti and beyond
- Rising gas prices drive U.S. market breakthrough
- Nissan’s turnaround and the rise of electric vehicles
- Scandal, strategy, and a bold new venture
- Japanese:
- Nissan Jidōsha KK
- Headquarters:
- Tokyo
- Areas Of Involvement:
- automobile
- automotive industry
- truck
- bus
- manufacturing
Nissan Motor Co., Ltd. is a Japanese industrial corporation that manufactures automobiles, trucks, and buses under the names Nissan, Infiniti, and formerly Datsun. The company also designs and manufactures such products as communications satellites, pleasure boats, and machinery. Its headquarters are in Tokyo.
The company originated from two earlier companies, Kwaishinsha Co. (founded in 1911 to produce Dat cars) and Jitsuyo Jidōsha Co. (founded in 1919), which merged in 1925 to form Dat Jidōsha Seizō Co. In 1933, new investors acquired the company’s assets and established the Jidōsha Seizō Co., Ltd. The following year, the company adopted its current name, Nissan Motor Co., Ltd., and focused on producing and selling vehicles and parts under the Datsun name.
As tensions escalated in the lead-up to World War II, Nissan shifted its production entirely to trucks and military vehicles by 1938. In 1945, following Japan’s surrender, the Allied occupation forces seized Nissan’s main plants. Although they allowed limited production of Nissan and Datsun vehicles to resume at one plant, the rest of Nissan’s facilities were not fully restored to the company until 1955. Thereafter, especially during the 1960s, when Nissan entered the world market, production and sales grew phenomenally as the company established assembly plants in several countries outside Japan.
Infiniti and beyond
In 1989, Nissan launched its Infiniti division to compete in the premium automotive market, particularly in North America. The division’s early models, such as the Q45, reflected a focus on luxury and performance, helping Nissan expand its presence in higher-end segments. Over the years, Infiniti has produced a variety of vehicles, including sedans, SUVs, and hybrids, contributing to Nissan’s broader product lineup.
At the same time, Nissan strengthened its presence in the truck market with models such as the Frontier and Titan. These vehicles gained attention for their practicality and reliability, becoming an important part of Nissan’s offerings in markets where trucks and SUVs are popular. To support production and meet local demand, Nissan established manufacturing plants in Smyrna, Tennessee, and Canton, Mississippi, where it builds cars and trucks for the North American market.
Rising gas prices drive U.S. market breakthrough
During the 1970s and 80s, Nissan gained significant traction in the U.S. market as demand for fuel-efficient vehicles surged amid skyrocketing gasoline prices during the Arab oil embargo and Iranian Revolution. Models like the Datsun 510, B210, compact Datsun pickup, and later the Nissan Sentra were popular for their practicality, performance, and affordability, while the 240Z sports car helped the automaker build a performance image.
Nissan’s turnaround and the rise of electric vehicles
By the late 1990s, Nissan was struggling financially. In 1999, it entered a transformative partnership with the French carmaker Renault, forming the Renault-Nissan Alliance. This collaboration, led by Carlos Ghosn, is credited with saving Nissan from near bankruptcy. Under the alliance, Nissan became an industry leader in electric vehicles with the launch of the Nissan Leaf in 2010. The Leaf became one of the world’s best-selling electric vehicles by 2020.
Scandal, strategy, and a bold new venture
Despite its success in the electric vehicle market, Nissan faced challenges in the 2010s, including declining profits and corporate turmoil. In 2018, the company’s former CEO and then-chairman Carlos Ghosn was arrested on charges of financial misconduct, including underreporting his compensation and misusing company assets, leading to a high-profile scandal that strained relations with Renault and affected Nissan’s reputation. These difficulties coincided with global shifts in automotive demand, including the rapid growth of China as the world’s largest car market, and heightened competition from established and emerging automakers.
In November 2021, Nissan announced its decision to spend ¥2 trillion ($17.6 billion) over five years as part of a strategy to accelerate the electrification of its vehicle lineup and to advance technological innovation. In March 2024, Nissan and Honda Motor Company took a significant step toward collaboration by agreeing to share key components for electric vehicles, including batteries, and to work together on software for autonomous driving technology. Later that year, in August, the two companies confirmed plans to expand their partnership, with Mitsubishi Motors Corp. joining as a third partner.
By December 2024, the three automakers unveiled their intention to form a joint holding company by August 2026. The proposed venture aims to position the alliance as the world’s third-largest automaker in annual sales, trailing only Toyota Motor Corporation and Volkswagen Group, while strengthening their ability to compete in electric vehicle and artificial intelligence (AI) development.