In reaction to the (constantly shifting) tariff taxes implemented by the Trump administration, Nissan is considering relocating the production of Sentras.
According to Automotive News According to information provided by an anonymous Nissan supplier, the company might relocate part of its Sentra production from Mexico to an underused facility in Mississippi. While this doesn’t necessarily mean Nissan will completely exit Mexico, it indicates they may move the assembly of Sentra sedans destined for the American market to this new location.
Why Ole' Miss? It’s where they manufacture both the Frontier and Altima models right now, but their assembly line seems to run only around 50% of full capacity. Given how the Altima model appears nearly obsolete, this underutilization could get worse still.
Producing more Sentras could address several issues, since it’s only been a short time since Nissan intended to use the freed-up manufacturing capabilities for electric vehicles. However, as many people foresaw, the rapid expansion experienced initially in this segment hasn’t continued. While the electric vehicle sector continues to grow, albeit less dramatically than before, the initial plan involved launching two sedans and a few crossover models. Due to changes, these sedan projects have been halted, and even the crossover initiatives face an updated timeline.
Despite everything mentioned, supply chains are quite unpredictable. Even though Nissan may have sufficient capacity in the U.S. to manufacture the Sentra, their suppliers might struggle with such an adjustment without potential hitches. Should the firm decide to produce every Sentra destined for America south of the Rio Grande, we'll be curious to observe how this affects the vehicle's pricing when considering the difference in operational costs between here and Mexico. On top of that, additional tariffs could potentially drive up those prices significantly as well.
Last year, Nissan sold 152,659 Sentra sedans in the U.S., which accounts for almost one-fifth of its overall sales.
[Image: Nissan]
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