Nidec Corporation, the world's largest maker of precision motors, appointed Michio Kaida as President and Chief Executive Officer on September 29, 2026, replacing Mitsuya Kishida in a leadership overhaul aimed at stabilizing the Japanese motor manufacturer following massive accounting irregularities and impairment losses. The change takes effect immediately as Nidec grapples with write-downs exceeding $3.8 billion tied primarily to its electric vehicle motor business, placing the company on the brink of delisting from the Tokyo Stock Exchange.
Kishida stepped down after the board determined he had made inappropriate statements regarding financial reporting during the process of restating results for prior fiscal years. Internal and independent investigations uncovered more than 1,000 instances of accounting improprieties and 844 cases of quality-control misconduct over the past decade, driven by intense pressure to meet aggressive corporate targets. The write-downs, including revisions linked to an accounting scandal disclosed in June 2025, are expected to reach approximately $6.9 billion in total charges when final results are announced. No search firm was involved in identifying Kaida, who was promoted from within the organization alongside complementary leadership changes.
Kaida, 70, previously served as Nidec's Chief Technology Officer and rose through the ranks from Nidec-Read Corporation, a group subsidiary where he held the position of Chairman and Chief Executive Officer. He graduated from Kansai University and has spent his career entirely within the Nidec ecosystem, building deep knowledge of the company's technology and operations. Founder Shigenobu Nagamori, who has long praised Kaida's leadership capabilities and determination, supported his elevation to the top role. However, some observers question whether Kaida represents a genuine break from the past due to his longstanding ties to the organization that allowed governance failures to persist.
Nidec, headquartered in Kyoto, operates approximately 340 group companies across 46 countries and specializes in developing, manufacturing and selling small precision motors, automotive motors, electronic and optical components, and related products serving IT equipment, automobiles, home appliances and industrial sectors. The company entered the electric vehicle motor market in 2019 when it became the first tier-one supplier to mass-produce E-Axle systems combining motor, gearbox and inverter technology. Despite this innovation, aggressive expansion under former leadership through numerous acquisitions strains financial performance and operational discipline. The company's stock price has plummeted amid the crisis, reflecting investor concerns about the speed and effectiveness of any turnaround effort.
The appointment signals Nidec's commitment to prioritizing technical innovation and operational restructuring under new leadership. At a news conference, Kaida indicated the company would refocus resources on growth sectors including data center equipment, power generation and energy storage systems, moving away from the aggressive diversification that characterized the previous strategy. The board, largely composed of outside directors, sought a successor to clarify accountability following the disclosure of widespread governance failures. Masayuki Minai also assumed enhanced responsibilities as Representative Director while retaining roles as Chief Compliance Officer and Chief Human Resources Officer, underscoring the company's pivot toward stricter compliance measures. Japanese regulators have intensified pressure on Nidec's executives to ensure transparent financial reporting and prevent future accounting fraud, placing direct responsibility on the shoulders of Kaida and his management team. The auditor has withheld earnings sign-off pending governance improvements, adding urgency to the turnaround effort. While Kaida's appointment may reassure technology investors given his technical credentials, his deep historical ties to the organization raise questions about whether the company can achieve the cultural and operational transformation necessary to restore credibility with shareholders and regulators.
