Nissan's CEO Uchida Out After Honda Alliance Collapse

Nissan Motor Co. is set to replace its chief executive officer, Makoto Uchida, following the collapse of a potential alliance with Honda Motor Co., according to people familiar with the matter. The move comes as Nissan struggles to regain market share and attract consumers with its aging product lineup.

The automaker has been grappling with a lackluster product portfolio and has had to resort to heavy discounts and promotions to clear inventory. This has led to a decline in profitability and a loss of market share in key regions such as China and the United States.

The proposed alliance with Honda, which was announced in December 2020, was aimed at helping Nissan to develop and produce more competitive vehicles. However, the deal fell apart earlier this year due to disagreements over the terms of the partnership and the extent of integration between the two companies.

The failure of the Honda alliance has left Nissan in a difficult position, as it seeks to turn around its fortunes and compete with rivals such as Toyota Motor Corp. and General Motors Co. The automaker has been under pressure to improve its financial performance and has been working on a turnaround plan that involves cutting costs and streamlining its operations.

Uchida, who took over as CEO in 2019, has been at the helm during a challenging period for the automaker. He has been working to stabilize the company's finances and implement a new business strategy, but the collapse of the Honda deal has raised questions about his leadership and the direction of the company.

Nissan has not yet announced a timeline for Uchida's replacement or the appointment of a new CEO. However, the automaker is expected to make an announcement in the coming weeks as it seeks to move forward with its turnaround plan and regain its competitive edge in the global automotive market.