Makoto Uchida is out as CEO of Nissan Motor Co. effective April 1, part of a C-suite shake up to position the company for long-term growth, the automaker announced Tuesday.
Uchida will step down as CEO on March 31, along with four other top executives. However, he will remain on the company’s board until its general shareholders meeting in June, according to the release.
His ousting follows a failed merger attempt with Honda Motor Co., months of declining profits and weak global sales, which has led to a wave of worldwide cost cutting, including eliminating 9,000 jobs. The move follows reports by various news outlets, including Wards Auto, of a looming management shift.
“Given the industry wide challenges and Nissan’s performance, we believe that it is necessary as well as appropriate to change the top management team,” Yasushi Kimura, independent outside Director and chair of the board of directors at Nissan, said at a press conference.
“Nissan is in the midst of transformation, we believe that we chose the right person who is qualified to lead the company in these times,” Kimura added.
Nissan named Chief Planning Officer Ivan Espinosa as Uchida's successor effective April 1, the release said. Espinosa has worked for the automaker in various roles for more than 20 years, according to his LinkedIn profile.
“Ivan Espinosa-san has mainly been responsible for product planning and has global experience, including his career in Mexico,” Kimura said, adding that Espinosa has developed a strong love for Nissan in the time he has worked for the company.
“We trust him to drive Nissan's recovery and further development with passion and speed,” Kimura said.
Edwin Lopez contributed to this story.
