Nissan to cut Japanese production of top-selling – Business News
Nissan will cut Japanese production of its top-selling US model, the Rogue SUV, over May-July, stated a individual conversant in the matter, changing into the most recent international automaker to alter manufacturing plans in response to new US import tariffs.
US President Donald Trump’s choice to slap a 25% levy on vehicles constructed abroad has upended the worldwide automotive provide chain.
Nissan, Japan’s third-largest carmaker, is more uncovered than some rivals.
President Donald Trump delivers remarks on tariffs within the Rose Garden on the White House in Washington, DC, on April 2, 2025. REUTERS
The United States is its prime market, accounting for more than a quarter of the autos it offered final 12 months, with many of these made in Japan or Mexico.
Nissan plans to scale back output of the Rogue by 13,000 autos at its plant in Kyushu, southwest Japan, during the three-month period, stated the individual, declining to be recognized as a result of the data isn’t public.
The deliberate cut is equal to more than a fifth of the 62,000 Rogues offered within the United States within the first three months of this 12 months.
Workers on the Kyushu plant, Nissan’s largest, will work fewer hours from May by way of July, with production halted on some days, the individual stated.
The plant will proceed to operate on two shifts a day, the individual added.
A new Nissan Rogue is pushed onto a rail car to be transported from an vehicle processing terminal situated on the Port of Los Angeles on April 3, 2024 in Wilmington, California. Getty Images
The automaker will reassess the production state of affairs at a later date relying on the outlook for tariffs, the individual stated.
On Monday, Trump stated he was contemplating modifying the auto levy as a result of automakers “need a little bit of time”.
Nissan stated in a assertion it was reviewing its production and provide chain operations to determine optimum options for effectivity and sustainability. It stated it was dedicated to adapting to market modifications whereas prioritising workforce and production capabilities.
“Our approach will be thoughtful and deliberate as we navigate both immediate and long-term effects,” it stated.
People have a look at the Nissan Rogue on the New York International Auto Show on the Jacob Ok. Javits Convention Center on April 15, 2022 in New York City. Getty Images
BACKTRACK
The Rogue was Nissan’s best-selling model within the US final 12 months, at virtually 246,000 autos, accounting for more than a quarter of the carmaker’s complete US vehicle gross sales.
Nissan additionally makes Rogue fashions in Smyrna, Tennessee.
The newest transfer comes after Nissan this month backtracked on a separate plan to cut output at Smyrna, saying it might keep two shifts for the Rogue, fairly than reducing to one as had been scheduled for April.
Other automakers are additionally scrambling to navigate the tariffs, which Trump has stated will enhance US manufacturing and jobs.
Trump holds a “Foreign Trade Barriers” doc as he delivers remarks on tariffs within the Rose Garden on the White House on April 2, 2025. REUTERS
Chrysler dad or mum Stellantis has stated it was pausing production at one plant in Mexico and one in Canada, impacting 5 related US amenities and briefly shedding 900 US staff.
Honda plans to make its next-generation Civic hybrid within the US state of Indiana, as a substitute of Mexico, to keep away from potential tariffs, Reuters has reported.
Even earlier than the tariffs, Nissan had been trying to slash international capability by 20% as half of a turnaround plan.
New CEO Ivan Espinosa is below stress to put the automaker on observe for restoration, particularly within the US the place efficiency has been hit by an ageing line-up and a lack of hybrids.
In the financial 12 months that simply ended, Nissan cut its revenue outlook thrice.
