Insiders say Nissan “has 12-14 months left to survive”

Times are tough for Nissan.

The automaker last month announced plans to lay off about 9,000 employees, or 6.7% of its global workforce, and cut 20% of production capacity due to falling sales, mainly in the United States and China.

Nissan is looking for a major investor to help the automaker through a “make-or-break period” next year, the Financial Times reported, citing insiders.

A Financial Times report published on Tuesday quoted a senior official close to Nissan as saying: “We have 12 or 14 months to survive.”

Some sources said Nissan is seeking stable shareholders such as banks or insurance groups but has not ruled out rival automakers like Honda, with which it already works on vehicle electrification and software as part of the partnership. technology. It was first announced earlier this year.

Nissan already counts Renault as a major shareholder. Renault, which rescued Nissan from near bankruptcy in 1999, has begun to reduce its stake in Nissan in the past few months, from 43% to just under 36%.

Sources close to Renault told the Financial Times that Renault is willing to sell part of its stake in Nissan to Honda, as Honda’s support for Nissan will ultimately benefit Renault as well.

Nissan’s lineup has been plagued by limited model redesigns for years, though that’s slowly starting to change with the rollout of programs like the redesigned 2025 Murano and 2025 Armada/Patrol. The automaker also doesn’t sell hybrids in the main U.S. market, hurting its results as the segment grows.

The partnership with Honda is a highlight and will help Nissan expand its electric vehicle lineup. Mitsubishi may also join the partnership to supply Nissan with plug-in hybrid technology.

This article was originally published by ClassicCars.com editorial partner Motor Authority