Company may sell its headquarters building to raise cash
of ConsumerAffairsMay 27, 2025
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Nissan considers selling its Yokohama headquarters to cope with worsening financial strain and U.S.-imposed tariffs.
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Japan faces mounting pressure from the Trump administrations trade policies, with negotiations still unresolved.
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Seven factories may close, and the burden of tariffs remains uncertain for automakers and suppliers alike.
Nissan, once a global automotive powerhouse, is now on the defensiveand its prized real estate may soon become a casualty. The company is reportedly planning to sell its Yokohama headquarters as part of a broader effort to stay solvent amid ongoing financial struggles and escalating U.S. tariffs on Japanese vehicles.
According to Nikkei Asia, Nissan has listed the waterfront propertyvalued at over 100 billion yen (approx. $698 million)among the assets it may sell by March 2026. The HQ, located near bustling Yokohama Station, has served as the companys global base since relocating from Tokyo in 2009.
Facing a serious cash crunch, Nissan may follow the path of other distressed corporations which have sold their headquarters and then leased it back. A similar strategy could allow Nissan to continue operations uninterrupted while raising crucial funds.
Tariffs add fuel to the fire
The Trump administrations tariffs on foreign-made vehicles, imposed in early April, have struck a particularly hard blow to Japanese automakers. Nissan, already reeling from years of profit declines and internal restructuring, is now confronting a worsening financial picture.
The automaker reportedly plans to use funds from the potential HQ sale to shut down seven of its 17 global factories, a massive operational downscale.
Meanwhile, Japan is scrambling for a diplomatic solution. U.S. and Japanese officials met earlier this month to discuss possible tariff exemptionsmirroring agreements the U.S. reached with the UK and a temporary pause on tariffs with China.
We have confirmed our intention to continue to ask for tariff avoidance at the earliest possible date, said Masanori Katayama, chairman of the Japanese Automobile Manufacturers Association.
No clear plan
While government consultation services are being offered to help businesses cope, there is no consensus yet on who shoulders the financial burden. The cost of tariffs may fall on either the automakers themselves or their parts suppliers, but discussions remain in early stages.
We have not yet had a clear discussion as to what portion will be borne by the parts manufacturer, and what portion will be borne by automakers, Katayama said. We are both in the same boat.
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