Nissan Motor Co. Has Abandoned Plans To Build An Electric Vehicle Battery Manufacturing Plant in Kitakyushu.

Governor and Mayor Interviewed：

On the morning of the 9th, Governor Hattori and Kitakyushu Mayor Naoto Takeuchi met with Nissan executives at Fukuoka Prefectural Office and received a briefing.

The meeting was held privately, but afterward, from about 9:30 a.m., he explained to reporters the reasons for the waiver.

Governor Hattori said, "Nissan CEO Espinosa told me that they had no choice but to abandon the program. As for the circumstances and reasons that led to the abandonment, he said that they are currently working to turn things around and are considering all options for restoring their performance, and that the decision to abandon the EV batteries was the result of careful consideration of the return on investment."

Continued efforts to attract companies

In January of this year, Nissan signed a site selection agreement with the cities of Kitakyushu and Wakamatsu to build a plant in the Ryozan area of Wakamatsu-ku, Kitakyushu.

Nissan plans to build the plant on approximately 150,000 square meters of land to produce lithium iron phosphate batteries, which are known as "next-generation batteries" and have low manufacturing costs and are less susceptible to deterioration, and to incorporate them into light-duty electric vehicles.

The factory is expected to create 500 new jobs at an investment of 153.3 billion yen, the largest investment by the city of Kitakyushu to date, and is scheduled to begin operations in fiscal 2028.

Governor Hattori said he was "deeply disappointed," adding, "I understand that this was an unavoidable decision given Nissan's extremely difficult business environment." The city plans to continue its efforts to attract companies to the Rattle Beach area.

On the other hand, regarding Nissan's plant in Karita-cho, Fukuoka Prefecture, he said, "I've heard that the plant has been recognized and will continue to serve as an important global production base."

Impact of Trump's tariffs
Regarding the impact of the Trump Tariffs, Yoshiharu Hirata, Executive Director of Nissan Motor, said, "Although there is no direct link, members of the Management Committee often discuss the overall business environment and the impact of the tariffs. With this in mind, we decided to drop these tariffs as part of an overall turnaround."

"The local community has high expectations."

Kitakyushu Mayor Takeuchi said, "CEO Espinosa communicated with us and gave a very sincere explanation. As a local government, we are very disappointed that the program was forced to be canceled due to the severe international and business situation. Our disappointment is compounded considering the efforts made by many to attract the company and the high expectations of the local community."

He added, "Even in the face of the choppy waters of the international situation, we will not stop. This invitation also proves that the potential and charm of Kitakyushu City have been recognized by a multinational company. Despite the uncertainty that still exists, we will overcome the difficulties and try to seize the next opportunity."

Nissan forced to abandon plan to build electric car battery manufacturing plant in Kitakyushu after careful consideration of return on investment.