On the basis of an agreement reached on May 19, 2003, Nissan Motor Co. and Nissan Diesel Motor Co. recently announced the establishment of a new joint venture: Nissan Automotive Light Trucks. Nissan PD's PD Andy Palmer was appointed president.
The start-up capital of the new company is 1 billion yen, Nissan holds 85% of the shares, and Nissan Diesel holds 15%. However, Nissan Diesel was allowed to increase its holdings to 25%.
The new company's business will involve the development, manufacture and sale of light-duty truck body, drive train and related components with a load of 1-2 tons. The new company’s target market will not only be set in the Japanese light truck market, but also in the Chinese and European markets. In these markets, it is generally believed that the market capacity will expand. The new company will absorb Nissan’s advanced models and expertise in procurement, cost management, and product development capabilities of the two companies, thereby strengthening cost competitiveness through cooperation. The company plans to launch high-quality, cost-competitive products into the global market from 2006. (Lin Changwen)
New company information:
Name: Nissan Motor Light Trucking Co., Ltd. Location: Ageo City, Saitama, Japan President: Andy Palmer Registered Capital: 1 billion yen Shareholders: Nissan Motor Company 85%
Nissan Diesel Motor Co., Ltd. 15%
Number of employees: 119 (initial start date)
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