Nikon appears to be scaling down production yet again in its home country of Japan. According to a report by Nikkei, the camera maker is set to shut down two of its lens manufacturing factories in the country, and will also shift staff and operations to its remaining plant in Otawara, Tochigi.
The Japanese news agency added that Nikon is further consolidating its domestic manufacturing of lenses as part of its efforts to reduce costs. This is a result of the decline of the camera market caused by the ever rising popularity of smartphones.
“We will ask 108 employees working at the Nagai factory and 54 employees at the Aizu factory to move to the factory in Otawara City, and if it is difficult to move, we will support reemployment,” a company spokesperson told Nikkei. “The site of the Nagai factory will be sold, and the site of the Aizu factory will be returned to the local government.”
It was previously reported that the company had also planned to cease operations in its Sendai plant and move all of its camera production to its factory in Thailand. Nikon is said to continue manufacturing high-end lenses in Otawara, while most of its lens production is handled by its Thailand factory as well.