Carlos Ghosn, the Nissan chief executive, is giving up his role as head of the Japanese car giant’s Americas division as he looks to jump-start another recovery across the business.

The reshuffle comes as the car maker announced it was slashing production at factories in Japan, moving from two shifts to one at two key factories.

Nissan gave warning a month ago that it was on course for its first annual decline in profits since he became chief executive in 2001.

Nissan also announced today that production at two of its important factories in Japan would move from two shifts to one after plunging domestic sales.

Nissan said today that from April 1, Hiroto Saikawa, the executive vice-president responsible for Europe, will take over the Americas division.

Mr Ghosn will focus on the overall strategy of Nissan and its French partner Renault.

Toshiyuki Shiga, the chief operating officer of Nissan, will be handed responsibility for sparking a turnaround in the group’s domestic market.

Mr Ghosn said in a statement: “The priority for our new management team is to act decisively on the multiple challenges facing Nissan and to boost our overall performance in 2007.”

His turnaround of the car giant at the start of the decade earned him celebrity status in Japan, where there is a manga comic character based on him.

One year after he took over, Nissan bounced back into profit after losses of $6.1 billion (£3.3 billion) in the previous 12 months.

But the company has suffered from disappointing sales and profits over the past year after a poor performance in its domestic market, where it is the third-biggest carmaker.

Demand for full-sized and compact cars has been in steady decline in Japan, but Nissan’s smaller range of new models means that it has been hit harder than its big competitors.

The group aims to increase global production next year as it seeks to boost inventory levels and sales overseas.

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