“Nissan must prioritize self-improvement with greater urgency and speed,” CEO Ivan Espinosa said. “The reality is clear. We have a very high cost structure. To complicate matters further, the global market environment is volatile and unpredictable, making planning and investment increasingly challenging.”

Nissan reported a net loss of 671 billion yen ($4.5 billion) for the financial year to March 2025. Its worst ever full-year net loss was 684 billion yen in 1999-2000, during a crisis that birthed its rocky partnership with French automaker Renault.

Nissan did not issue a net profit forecast for 2025-2026, only saying that it expects to see sales of 12.5 trillion yen.

“The uncertain nature of U.S. tariff measures makes it difficult for us to rationally estimate our full-year forecast for operating profit and net profit, and therefore we have left those figures unspecified,” Espinosa said.

As part of recovery efforts, Nissan said it would consolidate its assembly plants from 17 to 10 by fiscal year 2027. The company also plans to cut 20,000 jobs worldwide. “We wouldn’t be doing this if it was not necessary to survive,” Espinosa said.

Earlier this month, Nissan shelved plans to build a $1 billion battery plant in Japan. Of Japan’s major automakers, Nissan is likely to be the most severely impacted by President Donald Trump’s 25 percent tariff on imported vehicles.