Nissan hit as Chinese boycott Japan

Nissan became the latest Japanese company hit by the nation's diplomatic row with China yesterday, as the car maker slashed full-year profit forecasts by a fifth to $3.99bn (£2.5bn).

Demand for Nissan, Honda and Toyota cars in China, the world's biggest car market, has been virtually halved after protests over disputed islands in the East China Sea claimed by Japan. Nissan is the most exposed of the three with 27 per cent of its vehicle sales in China.