Nissan pauses plans for EV production in US, Automotive News reports

By Thomson Reuters May 21, 2024 | 8:16 AM

(Reuters) – Nissan Motor Co has paused production plans to build its electric vehicles in the United States, Automotive News reported on Tuesday citing a memo sent to auto suppliers.

The Japanese automaker has adjusted its development schedule on some battery-powered sedans and asked suppliers to stop development activity related to those projects until further notice, the report said.

Nissan did not immediately respond to a Reuters request for comment.

The announcement comes as weaker-than-expected EV demand prompts global automakers to pull back from their ambitious electrification plans to focus on hybrids and gas-powered models instead.

In March, the company laid out plans to accelerate its EV transition around the globe, including seven new models to be sold in the United States by 2026 and an EV manufacturing hub in the country.

(Reporting by Nathan Gomes in Bengaluru; Editing by Devika Syamnath)