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South Africa: Japanese auto factory in S Africa faces possible closure amid operational challenges
Japanese automaker Nissan's factory in South Africa now faces an uncertain future as the automaker grapples with financial strain, potential plant closures, and fierce competition in the accelerating green energy race. The automotive giant announced plans last month to shut down seven plants and shed 20,000 jobs in its global workforce, as it suffers a financial crunch. Nissan South Africa has remained tight-lipped on how this plan will affect its operations. Nissan has been part of South Africa's automotive landscape for over 60 years. First as an assembly plant in 1963, then going into full scale production in 1973, and has since seen many iconic brands roll off the production line. Analysts believe the struggle has been a casualty of its own failures. Nissan took the lead in the electric vehicles with the Leaf, but has fallen behind its competitors. The global automotive landscape is going through a rapid transformation as the green energy revolution takes shape. Experts said that while a possible closure will temporarily set the industry back, it could pave the way for new investment. Shotlist: Rosslyn, South Africa - Recent: 1. Various of interior of auto factory; workers; production line; 2. SOUNDBITE (English) Mike Mabasa, CEO, Association of Auto Manufacturers of South Africa (ending with shot 3): "They are still obviously waiting for confirmation from their global principals. And they will obviously inform us once they are ready to be able to tell us what's happening. But obviously, I think it is absolutely clear that Nissan, globally, will be rationalizing its operations. And whether South Africa is going to be impacted directly or not, I think that jury is still out. "; 3. Various of interior of auto factory; workers; production line; 4. Various of vehicles, people; 5. SOUNDBITE (English) Carel Snyman, independent automotive analyst (starting with shot 4/ending with shot 6): "Not all the legacy automakers are joining the EV revolution, if I can call it that. And if they don't keep up with the changes, then they will lose out. I mean, they are all losing sales at the moment and the Chinese vehicle manufacturers that are really into this now are gaining ground. I mean, BYD is the biggest automotive manufacturer in the world now. And you would have never said that a few years back."; 6. Various of interior of auto factory; workers; production line; 7. Vehicle moving; FILE: South Africa - Date Unknown 8. Various of traffic. [Restriction - No access Chinese mainland]
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