Nissan is already scaling back production plans for the new LEAF, which is set to launch later this year. As it scrambles to turn things around, this could further complicate Nissan’s recovery plan.
Nissan scales back new LEAF EV production plans
The new LEAF is expected to be one of the most significant factors in Nissan’s comeback. In May, Nissan announced plans to reduce its global workforce by around 15% and close seven plants as part of its restructuring.
Last week, it began talks with workers at its Sunderland, UK, plant, where the new LEAF will be built, over voluntary retirement.
According to a new report from Japan’s Kyodo News (via Reuters), Nissan is already cutting production plans for the next-gen LEAF ahead of its launch later this year. The report cites a shortage of rare earth minerals due to China’s new export restrictions.
No specific details were mentioned, but a separate Automotive News report claims Nissan is also delaying two EVs that were scheduled to be built at its Canton, Mississippi, plant.
An internal memo revealed it would delay production by around 10 months. Nissan cited “recent slowing EV demand in the US,” thanks to the Trump Administration eliminating the federal tax credit.
It will now begin production of the Nissan-branded model in November 2028 and the Infiniti-branded version in March 2029.
Nissan spokesperson Kyle Bazemore said, “We’ve made the strategic decision to slightly adjust the production timeline for our EVs at the Canton plant.” It looks like Nissan is adjusting more than just that.
Electrek’s Take
As part of its recovery plan, Re:Nissan aims to cut costs by 250 billion yen as it seeks to return to profitability by the end of fiscal year 2026.
However, if it continues to delay production, Nissan will only fall further behind. The Japanese automaker is already losing market share to EV giants like BYD due to its aging vehicle lineup.
The new LEAF is expected to be a key growth driver over the next few years, with significant improvements in range, style, and charging capabilities. Facing a shortage, how many LEAFs will Nissan be able to build?
Nissan is the latest automaker to adjust its EV plans following Trump’s “Big, Beautiful Bill.” Honda also canceled plans to launch its three-row electric SUV in the US.
