Production of Nissan Vehicles Move Out to Japan

by : Terry Brown

Japanese automotive company Nissan Motor Corporation Ltd. has been rumored to actually stop the production of their vehicles in North America and let their Japan based factories and manufacturing plants do the creating of their units. Of course, as anyone could see, this move could possibly be to actually gain more income and profit. Such a situation has been reported in one of Japan's business newspapers, the Nihon Keizai or Nikkei, last Sunday.

For cost effectiveness, perhaps Nissan does think that their strategy would be to have just one place where their vehicles would be manufactured. That way, the company would not have to spend double on factory costs and labor costs. If they could successfully create the current number of vehicles in just one location, which is Japan, the company would indeed be able to lessen their expenses and improve their income and profit. However, one problem that they could encounter would be if they do need several other products like or to use for their vehicles. If this would happen, then they would still need to have these other products shipped to Japan.

If the rumors continue to be true, then there would be lots of workers in North America who would have to start looking for new jobs. You see, according to the company, they had originally planned to have the Nissan Quest minivan and the Infiniti QX56 sport utility vehicle produced in the company's plant located in Canton, Mississippi come the year 2008 or even 2009. But if the company does bring the manufacturing of such vehicles to Japan, the workers who would have supposedly created such vehicles would then be jobless.

On the other hand, if Nissan is not going to be moved by such rumors and still maintain their factories in North America, many people would be gaining a lot out of the production of the previously mentioned vehicles. You see, statistics from Nissan say that last year, there were already 40,000 Nissan Quest minivans sold and some 15,000 Infiniti QX56 sport utility vehicles purchased in North America alone.