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Nissan to cut production of top-selling U.S. model amid tariff impact
Nissan is set to reduce production of its top-selling U.S. model, the Rogue SUV, at its Kyushu plant in Japan between May and July, according to an informed source. This move comes as the company adjusts to the impact of new U.S. import tariffs, following President Donald Trump’s decision to impose a 25% levy on cars manufactured overseas. The tariffs have disrupted the global automotive supply chain, and Nissan, Japan’s third-largest automaker, is particularly affected as the U.S. represents its largest market, accounting for over a quarter of its total sales in 2024.
The planned reduction will cut production by 13,000 units, which represents more than 20% of the 62,000 Rogues sold in the U.S. during the first quarter of this year. The Kyushu plant, Nissan’s largest, will reduce working hours and halt production on certain days, although it will continue operating two shifts a day. The company will reassess production based on the evolving tariff situation.
While the U.S. government is considering adjustments to the tariff, Nissan emphasized in a statement that it is reviewing its production and supply chain strategies to ensure efficiency and sustainability. The company remains committed to adapting to market shifts while prioritizing workforce well-being and production capabilities.
The Rogue was Nissan’s best-selling model in the U.S. last year, with nearly 246,000 units sold. Nissan also manufactures the Rogue in Smyrna, Tennessee. Earlier this month, Nissan reversed a plan to reduce production at its Smyrna plant, instead maintaining two shifts for the Rogue as originally scheduled.
Other automakers, including Stellantis and Honda, are also adjusting their production strategies in response to the tariffs. Nissan, which had already been planning a global capacity reduction of 20% as part of a broader turnaround strategy, faces additional pressure under its new CEO, Ivan Espinosa, to recover and improve performance in the U.S. market.