On 20 July 1943, the 4th Destroyer Flotilla was deactivated and "Nagara" replaced the as flagship of Rear Admiral Shunji Isaki's 2nd Destroyer Flotilla of the IJN 2nd Fleet, consisting of Destroyer Divisions 24, 27, 31, plus three attached destroyers. "Nagara" was relieved as flagship of 2nd Destroyer Flotilla by the newly commissioned cruiser on 20 August 1943, and was reassigned to the IJN 8th Fleet under Vice Admiral, Baron Tomoshige Samejima. "Nagara" also returned to Maizuru for refit with a Type 21 air-search radar and four twin-mount Type 96 25-mm AA guns.