Weak demand threatens to hasten Nissan's decline
The Straits Times|December 04, 2024
Carmaker's profits slumping amid lack of popular hybrid models, inventory backlogs
Weak demand threatens to hasten Nissan's decline

TOKYO - Waiting times for Nissan Motor cars in Japan have shrunk far below those of other local brands, the latest sign of weak customer demand threatening to worsen the carmaker's slumping profits.

While the country's other major carmakers take half a year or longer to ship a new vehicle in Japan, many of Nissan's most popular models can be delivered within a month or two.

Similar dynamics are also playing out in the US, where inventory levels are typically higher: Nissan had an average of 109 days' supply in October, well above the industry average of 85 days and Toyota Motor's 35 days, according to market researcher Cox Automotive.

Part of that is a lack of popular hybrids, another reflection of the challenges facing Nissan, where an outdated product line-up and inventory backlogs are fuelling a cycle that threatens to hasten the carmaker's decline.

Elevated spending on sales incentives is cutting into profit, which is shrinking, forcing Nissan to shed 9,000 jobs and cut a fifth of capacity.

"It's a deteriorating brand," said analyst James Hong at Macquarie Securities Korea. "Having no hybrids is one thing, but the company's response to a changing situation was very, very slow."

Driving a new car off the lot is not a concept that exists in Japan. Regulations and paperwork, along with less space for inventory, mean it can take weeks or months to get your hands on a new set of wheels.

But Nissan's Leaf, Sakura, Note and the Serena - its best-selling family van - can be handed over relatively quickly, according to delivery data and checks at dealerships.

Bu hikaye The Straits Times dergisinin December 04, 2024 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

Bu hikaye The Straits Times dergisinin December 04, 2024 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

THE STRAITS TIMES DERGISINDEN DAHA FAZLA HIKAYETümünü görüntüle
The Straits Times

CALLIGRAPHY IS BIG WITH ARTIST

The boulders hiding in the alcove of Tong Yang-tze's (right) Taipei apartment testify to this Taiwanese calligrapher's daunting perfectionism. They are paper - remnants of discarded artworks, crumpled together like used tissues and soaked into inky wads of pulp. Hundreds of old drafts of writing, including many of her efforts to draw Chinese poetry at a monumental scale, have been recycled into these rocks over the years, most recently as she worked on her commission for the Metropolitan Museum of Art, which debuted on Nov 21.

time-read
2 dak  |
December 05, 2024
Mattel sued over Wicked dolls with porn website link
The Straits Times

Mattel sued over Wicked dolls with porn website link

LOS ANGELES - Mattel was sued on Dec 3 by a South Carolina mother for mistakenly putting a link to a pornographic website on packaging for dolls tied to the blockbuster movie Wicked.

time-read
1 min  |
December 05, 2024
Taiwanese musician-director Liu Chia-chang a composer of hit songs
The Straits Times

Taiwanese musician-director Liu Chia-chang a composer of hit songs

Famed veteran Taiwanese musician and director Liu Chia-chang has died at the age of 81.

time-read
2 dak  |
December 05, 2024
Actress Kristal Tin reveals lung cancer diagnosis
The Straits Times

Actress Kristal Tin reveals lung cancer diagnosis

Former TVB actress Kristal Tin revealed on Instagram on Dec 3 that she has undergone successful surgery for lung cancer.

time-read
1 min  |
December 05, 2024
The Straits Times

South Korean entertainment schedules up in the air

SEOUL - Schedules of performances and interviews in South Korea have been thrown into a state of uncertainty by a sudden martial law declaration that was lifted only a few hours later.

time-read
2 dak  |
December 05, 2024
Host Dasmond Koh surprised by martial law edict while in Seoul for work
The Straits Times

Host Dasmond Koh surprised by martial law edict while in Seoul for work

Upheaval in Seoul, South Korea

time-read
2 dak  |
December 05, 2024
Squid Game returns to end 2024 with a bang
The Straits Times

Squid Game returns to end 2024 with a bang

In this monthly column, The Straits Times' streaming picks for December include the long-awaited second season of the survivalist hit Squid Game (2021 to present) and its non-lethal equivalent.

time-read
1 min  |
December 05, 2024
Flow speaks Volumes, The Room Next Door a thin melodrama
The Straits Times

Flow speaks Volumes, The Room Next Door a thin melodrama

In the wake of a devastating flood, a cat finds refuge with motley stranded animals on a tattered sailboat.

time-read
1 min  |
December 05, 2024
Funeral rites come alive in The Last Dance
The Straits Times

Funeral rites come alive in The Last Dance

The Hong Kong drama offers fascinating glimpses into the city's funeral traditions

time-read
2 dak  |
December 05, 2024
Tolkien and anime work well together, says Japanese director
The Straits Times

Tolkien and anime work well together, says Japanese director

NEW YORK - It has been a decade since the work of fantasy author J.R.R. Tolkien last appeared on the big screen.

time-read
3 dak  |
December 05, 2024