Nissan Motor Co. is deepening its production cuts at two key U.S. plants through March 2025, reflecting persistent challenges in the American market where the Japanese automaker struggles to compete with rivals’ hybrid offerings, Nikkei reported.
The automaker will slash output by 17% year-on-year at its Canton, Mississippi, and Smyrna, Tennessee, facilities, which manufacture the Frontier pickup and Rogue SUV models. These vehicles represent nearly a third of Nissan’s U.S. sales.
Both plants have already been operating on four-day schedules instead of five, highlighting the company’s efforts to align production with weakening demand. The extended reduction comes as Nissan grapples with its limited presence in the growing hybrid vehicle segment, where competitors Toyota Motor Corp. and Hyundai Motor Co. have gained significant market share.
The production adjustment is part of Nissan’s broader restructuring efforts. The company has already seen about 900 North American employees, or 6% of its regional workforce, accept early retirement packages in the second quarter. On a global scale, Nissan plans to reduce its production capacity by 20% and cut approximately 9,000 jobs.
