Nissan will start producing its compact SUV, the Kicks, at the Oppama plant in Kanagawa Prefecture in the second half of fiscal 2025 (October 2025 to March 2026), according to Nikkei. The decision targets raising plant utilization, which has dropped to approximately 40%, far below the 80% breakeven point.
Previously home to Leaf EV production, the Oppama plant — one of Nissan's main domestic facilities with a 240,000-unit annual capacity — saw output plunge after Leaf manufacturing was relocated to Tochigi in spring 2025, compounding sluggish sales.
Amid ongoing restructuring efforts following heavy financial losses, Nissan has unveiled plans to close 7 of its 17 global factories. The Oppama plant is reportedly on the list of potential shutdowns.
To improve capacity utilization, Nissan is in discussions with Foxconn (Hon Hai Precision Industry) over potential joint use of the Oppama plant, a move that may also lead to new investment from the Taiwanese firm. Simultaneously, Nissan has begun preparing a new Kicks production line, issuing build plans to suppliers and initiating component procurement.
With the Kicks added, Oppama will produce three models: the Kicks, Note, and Note Aura hybrid electric vehicles. The Kicks is currently built in Thailand and Mexico for Southeast Asia and partially for the Japanese market. Nissan now plans to relocate part of its Thai production to Japan, and has begun reducing output of existing models at Oppama from July to clear space for the SUV line.
Article edited by Jack Wu
