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▼ Nissan To Put On Hold EV-Making Plan In U.S. As Sales Slow, Tax Break Ends
- Category:Driving
Nissan Motor Co will put on hold a plan to make electric vehicles in the United States as EV sales are slowing and a tax break on EV purchases was eliminated in the country, a source familiar with the move said.
The Japanese automaker is instead considering reviving the once-discontinued Xterra sport utility vehicle in a hybrid format in 2028.
According to the source, Nissan has already asked parts suppliers to suspend work related to its initial goal of starting production of SUV-type EVs at its plant in Canton, Mississippi, in the same target year.
The automaker now envisions producing Xterra SUVs at the Canton facility.
As it moves to streamline operations in a bid to restore profitability, Nissan signaled to partner companies in July that it was delaying the start of EV production at the plant by up to a year.
It came to light in September that Nissan had temporarily suspended production at an eastern Japan plant of its Ariya electric vehicle for the U.S. market. But the automaker still plans to launch a new model of the Leaf EV in the United States in the fall.
Slowing global EV sales have forced automakers to reconsider their EV strategies.
In May, Honda Motor Co. said it was reducing its investment plan for EV technology through fiscal 2030 to around 7 trillion yen ($47.6 billion) from the previously scheduled 10 trillion yen, citing lower-than-expected growth in the EV market.
The Japanese automaker is instead considering reviving the once-discontinued Xterra sport utility vehicle in a hybrid format in 2028.
According to the source, Nissan has already asked parts suppliers to suspend work related to its initial goal of starting production of SUV-type EVs at its plant in Canton, Mississippi, in the same target year.
The automaker now envisions producing Xterra SUVs at the Canton facility.
As it moves to streamline operations in a bid to restore profitability, Nissan signaled to partner companies in July that it was delaying the start of EV production at the plant by up to a year.
It came to light in September that Nissan had temporarily suspended production at an eastern Japan plant of its Ariya electric vehicle for the U.S. market. But the automaker still plans to launch a new model of the Leaf EV in the United States in the fall.
Slowing global EV sales have forced automakers to reconsider their EV strategies.
In May, Honda Motor Co. said it was reducing its investment plan for EV technology through fiscal 2030 to around 7 trillion yen ($47.6 billion) from the previously scheduled 10 trillion yen, citing lower-than-expected growth in the EV market.
- 4/10 20:59
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