The local car manufacturing industry has taken another hit today, as Nissan has announced that it will be ceasing its assembly operations in Santa Rosa, Laguna in March 2021. This news comes following the expiration of Nissan Philippines’ (NPI) contract with Univation Motor Philippines, Inc. (UMPI).
In a statement, the Japanese car brand explained that the decision to let go of local Almera assembly is aligned with its efforts to streamline operations in Southeast Asia, and that the move is part of the company’s Next transformation plan.
“Nissan in the Philippines, together with its vehicle assembly partner, Univation Motor Philippines, Inc. (UMPI), have made the decision to cease production operations for the Nissan Almera in the Santa Rosa plant in the Philippines, effective March 2021,” the company’s statement reads.
“The decision is aligned with Nissan’s plan towards optimized production and efficient business operations in the ASEAN region, as part of the Nissan Next transformation plan.”
Nissan to continue other operations in the PH
Nissan goes on to say that UMPI will continue its operations in the Philippines and that it is now coordinating with the company to facilitate a smooth transition. The manufacturer added that right now, the well-being of its employees is its number one priority.
“Nissan remains committed to its investments in the Philippines. The company will continue to contribute to the growth of the Philippine automotive industry through its innovative products and excellent services, as well as its dealer expansion nationwide,” the brand said, adding that it will continue improving its services and expanding its network locally.
As of this moment, where the Almera will be sourced is still being studied. NPI, though, is assuring customers that the sedan will continue to be offered as there is still enough supply available to meet local demand.
If all this sounds familiar, it’s because we saw something similar when Honda Cars Philippines closed the doors of its Santa Rosa production facility in February 2020. The brand also cited “optimization efforts” as the reason for its decision as well. Let’s hope the car manufacturing industry won’t take any more hits like this in the near future.