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Nissan's shares have plunged by 10% in Tokyo trading after warning that it would see a record annual loss.

Japan's second largest carmaker said it expects a $4.5bn (£3.5bn) operating loss this year as the coronavirus hinders its turnaround efforts.

The worse-than-expected forecast came as the company predicted its sales will be the lowest in a decade.

It's the latest indication of the extent of the damage caused by the pandemic to the global car industry.

“The market outlook remains uncertain and we may see a further deterioration in demand due to a possible second wave of the pandemic,” Nissan's chief executive Makoto Uchida told investors.

Mr Uchida also said the company would not make a dividend payout to shareholders this year.

Nissan's global sales slumped 48% in the April-June period as they halved in North America and fell by 40% in China.

Even before the coronavirus pandemic, the company was wrestling with a number of issues.

In May, Nissan announced a major turnaround plan after reporting its biggest loss in two decades for the previous financial year.

Under the four-year plan production will be cut by 20%, and Nissan's plant in Barcelona, Spain will be closed.

The company's UK factory in Sunderland was spared but Nissan's global chief operating head told the ����ý that the operation would be "unsustainable" if the UK leaves the European Union without a trade deal.

In May, Nissan's alliance partner Renault announced that it would shed 15,000 jobs worldwide as part of a €2bn (£1.8bn) cost-cutting plan after seeing sales plunge because of the pandemic.

"This plan is essential," said interim boss Clotilde Delbos, who announced a bigger focus on electric cars and vans.

Some 4,600 jobs will go in France, and Renault has said six plants are under review for possible cuts and closure.