TOKYO (Reuters) -Nissan Motor wants to end vehicle production at its Wuhan plant in China by March 31, 2026, two sources with knowledge of the plan said.
The decision comes after the operation rate at the 300,000 vehicle capacity plant, which produces the Ariya electric vehicle and X-Trail SUV, fell off amid stiff competition from Chinese automakers, the Yomiuri newspaper reported earlier.
Nissan (OTC:NSANY) declined to comment on the report.
Annual production at the facility leased from Dongfeng Motor has only reached about 10,000 units since operations began in 2022, said one of the sources.
The sources asked not to be identified because they are not authorized to talk to the media.
The Japanese carmaker on Thursday forecast a record net loss of 700 billion yen to 750 billion yen ($4.87 billion-$5.22 billion) due to impairment charges for the financial year that ended on March 31.
($1 = 143.6700 yen)