Compiled by | Yang Yuke

Edited by | Ge Bangning

Produced by | Bangning Studio (gbngzs)

Fate's clock ticks inexorably. On April 1, 2025, Nissan Motor completed its management transition, with Ivan Espinosa assuming the CEO position from Makoto Uchida.

Renault Group, Nissan's alliance partner, preemptively sent a gesture of goodwill. On March 31, Renault announced a new strategic cooperation project with Nissan, encompassing four key points:

Firstly, the cross-shareholding ratio between the two will be reduced from 15% to no less than 10%, potentially raising approximately 690 million euros for Nissan based on current valuations.

Secondly, Renault will take over the alliance's joint venture in India by acquiring Nissan's 51% stake.

Thirdly, Renault will exempt Nissan from its previous commitment to invest 600 million euros in Renault's Ampere electric vehicle business.

Fourthly, Renault will develop and produce Twingo derivative models designed by Nissan.

"Renault's official statement reads more like an emergency rescue mission for Nissan," Automotive News commented. The latest alliance revision aims to help Nissan swiftly reverse its decline by withdrawing from India, shedding investments in the Ampere electric vehicle division, and raising cash through Renault share sales.

Amid intensifying competition and mutual distrust, Renault Group has been partially dissolving its alliance with Nissan Motor, yet still retains a 36% stake in the latter.

Nissan is scrambling to conserve cash and recently outlined plans to cut costs, capacity, and lay off thousands of employees. Simultaneously, it grapples with declining sales, particularly in China, where price wars and the proliferation of EV manufacturers have beleaguered foreign brands.

Last month, merger talks between Nissan and Honda Motor collapsed.

4 to 5 Crises

Hours before Nissan officially announced Espinosa as its new CEO, he was spotted driving a sleek sports car to work – a rare sight in Japan, where corporate executives typically ride in the back seats of luxury sedans.

He was behind the wheel of a metallic gray, left-hand-drive Fairlady Z. While Espinosa's driving prowess impressed car enthusiasts, confidence in this relatively unknown executive's ability to navigate Nissan's myriad challenges remained low.

Despite being described as a car enthusiast, the 46-year-old Espinosa's passion alone may not suffice to overcome Nissan's formidable problems, according to Julie Boote, an automotive analyst at London-based research firm Pelham Smithers.

Espinosa faces a daunting array of tasks: reversing Nissan's declining fortunes, revitalizing its outdated product line, and securing new business partnerships.

Moreover, he must navigate the turmoil sparked by U.S. President Donald Trump's imposition of a 25% tariff on imported cars.

Since Carlos Ghosn's departure in 2018, Nissan has stumbled through one crisis after another.

Espinosa joined Nissan in his hometown of Mexico in 2003, spending most of his tenure focused on strategy and planning. Before his new role, he served as Chief Planning Officer at Nissan's Yokohama headquarters and held positions in Switzerland and Bangkok.

Many observers found Nissan's new CEO selection surprising, and even Espinosa seemed taken aback. At the March 11 press conference announcing his appointment, he said, "I was just informed of this appointment, so I need some time to think about it."

His oversight of the company's product portfolio raises concerns, especially considering Nissan's unpopular model lineup as a critical factor necessitating urgent change. The management team reshuffle has also been questioned for retaining the entire board of external independent directors.

Espinosa is younger than most of his executive reports, including Nissan's Chief Performance Officer Guillaume Cartier and Chief Financial Officer Jeremie Papin.

In an interview last week, Espinosa lamented not accelerating product development sooner. He reiterated Nissan's plan to shorten the time to market for a vehicle from 55 months to 30 months.

According to analyst Boote, Espinosa's top priority is to reach some form of agreement.

Espinosa remains open to collaboration with Honda Motor. "I am open to Honda or other partners as long as they help us realize our business vision," he said. He believes that driving smart cars requires significant work and investment, possibly necessitating partnerships.

Bloomberg has reported that Nissan intends to ally with a technology company, preferably one based in the United States. Foxconn has previously expressed interest in acquiring Renault's stake in Nissan.

Espinosa does not shy away from the difficulties and tasks ahead. Most CEOs typically handle one or two major crises in their careers, but he is "facing 4 to 5 crises simultaneously."

"I have to try to turn things around," he said. "I'm dealing with a serious morale crisis within the company, and profound transformation is needed. Most importantly, there's the external perception of the company. Until recently, everything you read about Nissan was negative."

So far, observers have been cautious about Espinosa's appointment. As an insider, he will more or less inherit Uchida's unfinished aspirations, meaning nothing is definitive at present.

CreditSights analysts recently commented, "We believe Nissan is currently unlikely to become a subsidiary of Honda, at least not until Espinosa's strategy is announced, implemented, and evaluated by the board for its effectiveness."

Who is Espinosa

Espinosa has become the youngest CEO in Nissan's history.

He enjoys the carefree and fun aspects of life. He drives a Z sports car to work daily, enjoys mountain bike rides in Japan, and savors beach vacations.

As a father of two, he loves tennis, golf, and diving. He appreciates the smell of diesel, the hum of factory workshops, and the rhythm of drum solos. As a native of Mexico City, his love for tacos is unspoken.

However, after April 1, Espinosa may need to adjust some of his hobbies.

In an interview with Automotive News, he outlined two areas where Nissan must improve, acknowledged his biggest professional regret, and explained his inspiration for joining the company.

Espinosa is Nissan's first non-Japanese CEO since Ghosn.

"They asked me, 'Hey, are you interested in being CEO?'" Espinosa recalled. "I started thinking, 'Well, this is a big challenge, but I'm ready.'"

Espinosa is formulating a revised and more robust revitalization plan but is not ready to discuss details, only stating that it requires better planning and cost control.

Espinosa believes Nissan has been overly optimistic in forecasting and achieving sales targets, creating a gap between executives' lofty goals and actual results.

"This is a fundamental problem we must solve," Espinosa said. He believes the Nissan brand may be perceived as stronger in some parts of the world than it actually is. Next, Nissan must more aggressively cut fixed and variable costs. "Cost, cost, cost," he emphasized, noting that this requires in-depth work.

Espinosa has a straightforward approach to problem-solving: first, check what's normal. What truly annoys him is a lack of transparency.

"I can tell you a story about the absurdity within Nissan. The green smiley face on the scorecard means everything's normal. In fact, those green smiley faces are where you need to dig deeper. That's where you'll find the problems," Espinosa said.

Espinosa is open to collaboration, believing that partnering with other companies, including Nissan-Honda cooperation, is one of Nissan's most important recent initiatives.

"Interaction with other companies is a catalyst for change within Nissan, helping us discover many ways to become better," he said. "We can streamline procurement, automotive tool manufacturing, and car design timelines, which is beneficial to partner companies."

On March 6, Nissan's Nomination Committee directors met with Espinosa to discuss the CEO position. His first move was to seek his wife's advice. He said accepting the offer as a lifelong Nissan employee was natural.

"This company made me who I am. I've been with Nissan for nearly 25 years. This company has given me everything I have," Espinosa said at a hastily called press conference on March 11, where he was appointed Uchida's successor.

Espinosa is a mechanical engineer from an engineering family. His early fascination with the 300ZX sports car sparked his interest in working for the distant Japanese automaker one day.

"This car showed me a side of Nissan I didn't know in Mexico," Espinosa said. "When I was young, the company was renowned for producing reliable and affordable cars. When I discovered this car, I thought, 'Wow, this company is different.' I said, 'I want to try Nissan.'"

Below is an excerpt from Automotive News' interview with Espinosa:

What is your greatest achievement at Nissan?

Renewing our product lineup before the Nissan Next business plan. We overhauled the entire portfolio and launched these models in a short time, helping the company recover and regain its footing.

If you could do it all over again, what is your biggest regret or wish?

I could have pushed the development plan harder and accelerated the process. We aim to make car development faster, shortening the time for all-new models from 55 months to 37 months and derivative models to 30 months. I wish I had pushed earlier. It took the company a long time to realize we had to do this.

What do you hate the most?

Squeaks and rattles in the car. They drive me crazy. I test many cars, and sometimes when driving, they start squeaking or making other noises. I really want to find the source of the noise.

How do your critics talk about you?

Sometimes I might be too fast for the team or company. When they're still on step A, I'm already on B, C, or D. But I've learned to look back and wait for people to catch up because when everyone is together and coordinated, we can accelerate and move faster.

What book are you reading?

"The New CEO" by Ty Wiggins. After knowing about this (being selected as CEO), I thought I had to read some related books.

What is your motto?

Work hard with a smile. I try to make things fun. Mexicans are essentially optimists during difficult times.

Are there any good Mexican restaurants in Japan?

Unfortunately, not in Yokohama.

(This article partially integrates reports from Automotive News, Reuters, Bloomberg, Carscoops, MorningStar, AP, and some images are from the internet)