Nissan plans to build $2-billion factory in Mexico
Nissan Motor Co. said it will spend about $2 billion to build an automobile factory in Aguascalientes, Mexico, as part of the company’s North American growth strategy.
The plant is scheduled to open late next year with the capacity to build about 175,000 compact vehicles per year, the company said, complementing Nissan’s two existing Mexican factories.
Nissan wants to build vehicles outside Japan and closer to the markets in which they will be sold to dampen the profit-killing effect of the strong yen and to save money on transportation.
“We need to build out our capacity in the Americas. We have been growing consistently for a number of years, including six consecutive years of market share gains in the U.S., and with our coming onslaught of new products, we intend to continue to grow,” Nissan spokesman David Reuter said.
In recent years, Nissan has been growing faster than its major Japanese rivals in the U.S. It has gained market share for six consecutive years, ending 2011 with 8.2% of the U.S. market.
