Nissan Motor is slashing production at its U.S. plants and offering buyouts to factory workers there as part of the Japanese automaker’s urgent efforts to return to profitability

Japan's Nissan Motor is offering buyouts to workers and cutting back shifts at three U.S. factories, a company spokesperson said on Thursday, as the automaker pushes to slash $2.6 billion in costs globally.

Nissan Motor (OTCPK:NSANY) announced production and shift cuts in the U.S. as part of its strategy to push back costs amid sluggish sales. The Yokohama-based automaker is offering buyouts to workers.

Nissan is cutting shifts at its Smyrna plant and offering buyouts to some employees. This is part of the Japanese company's plan to cut 9,000 workers.

Nissan Motor Co. is eliminating a work shift at two US vehicle assembly plants and trimming its hourly staff via buyouts, a downsizing to align its output with lower sales volumes as it mulls a possible sale to Honda Motor Co.

Nissan will operate a single shift on one production line at each of its two U.S. facilities, located in Smyrna and Canton, Mississippi, according to Bloomberg. It expects to go back to a two-shift schedule when it introduces new vehicle models in 2027 and 2028. The production cuts impact the Rogue in Smyrna and the Altima in Canton.