Nissan confirmed it is again delaying EV production at its Canton, Mississippi plant. According to sources, it is also dropping plans to build an electric SUV similar in size to the Rogue Sport in the US.
Nissan cancels its smaller electric SUV for the US
Although Nissan initially planned to begin EV production at its Canton, Mississippi plant this year, the company is pushing it back until at least 2028.
According to the Madison County Journal, a Nissan official confirmed the delay last week. Amanda Plecas, Senior Manager of Manufacturing and Labor Communications Nissan Group of the Americas, said the company hopes to produce five EVs starting in 2028.
βNissan remains committed to the future of mobility and electric vehicle production,β Plecas said. The official explained that the Canton plant will βtransform into a Nissan Intelligent Factoryβ for EV production.
In February 2022, the company announced a $500 million investment in Canton to build two new Nissan and Infiniti EV models starting in 2025.
The other three electric models were expected to be crossover or SUVs. Last May, Nissan unveiled plans to build a smaller electric SUV, expected to sit between the LEAF and Rogue, as its fifth EV in Mississippi.
A separate report fromΒ Automotive NewsΒ suggests that thisΒ will no longer be the case. Sources said Nissan notified suppliers that it wouldnβt be building the electric SUV in Canton. According to AutoForecast Solutions, the new EV will only be built at Nissanβs Sunderland, UK plant.
Nissan spokesperson Brian Brockman said the company is focusing on other EV projects in Canton that would sell better.
Nissan, including Infiniti, has watched its US market share dwindle to 5.8%, down 2.1% over the past five years, as per Automotive News Research & Data Center.
AutoForecast Solutions vice president Sam Fiorani said another smaller electric SUV from Nissan would only add to an already crowded market with new models arriving from Hyundai, Kia, and Volkswagen.
Electrekβs Take
The news comes as Nissan struggles to keep pace not only in the US but globally. The automaker announced plans to team up with Honda to remain relevant as EV leaders like BYD and Tesla gain market share.
Nissan sold just over 31,000 EVs in the US last year, including 19,798 Ariya electric SUVs and 11,226 LEAF models. In comparison, Honda sold over 33,000 electric Prologue SUVs in the US in 2024, and deliveries began in March.
The Ariya is already competing against top sellers like the Tesla Model Y and Hyundai IONIQ 5. With a wave of new electric SUVs gaining momentum in the US, including the Chevy Equinox EV, Honda Prologue, and Kia EV9, Nissan would be late to an increasingly crowded segment.
Nissan hopes its next-generation EVs, like the upcoming LEAF, will help turn things around. Last week, we finally caught a glimpse of the new Nissan LEAF testing in the USΒ ahead of its official debut (Check it out here).