Nissan to move Quest and QX56 production to Japan
(autoinsidernews) - Nissan Motor plans to move production of both its Quest minivan and the Infiniti QX56 SUV to from its Canton, Mississippi plant to facilities in Japan, according to the Nihon Keizai business daily. Production of two Nissan models the Quest minivan and the Infiniti QX56 sport utility vehicle was expected to be relocated in 2008 and 2009, as part of its efforts to improve profitability.
Since both vehicles are mainly sold in North America, local production offered Nissan lower distribution costs. But with small sales volumes of each vehicle, Nissan expects to cut costs by moving production to Japan because its Japanese plants can switch between models and build them more quickly, reports Trend.
Production at the Canton plant would be unchanged as Nissan plans to increase truck production to maintain current levels.