Nissan Motor will slash 20,000 jobs, shift production abroad, and cut dividend payments.

Nissan’s net loss will increase to ¥310 billion ($3.4 billion) next fiscal year, up from the company’s forecast of a ¥265 billion loss for the year ending in March, according to estimates compiled by Bloomberg.

CEO Carlos Ghosn plans to cut labor costs in high-wage countries and reduce capital expenditure by a combined 18% next year.

In January, demand for Tokyo-based Nissan’s vehicles plummeted 31% in both the US and Japan.

Nissan is Japan’s only carmaker seeking a federal loan under a US program for fuel-efficient autos, competing for funds with GM, Ford and electric-car start-up Tesla Motors.