Nissan Motor Co. has announced it will stop accepting new orders from the United States for two of its Mexico-built Infiniti SUVs, the QX50 and QX55, in response to sweeping auto tariffs imposed by President Donald Trump. The move marks a significant scale-back in the Japanese automaker’s North American operations, particularly at its joint venture plant in Mexico.
The Infiniti models are manufactured at the COMPAS plant in Aguascalientes, Mexico—a facility jointly operated by Nissan and Mercedes-Benz. The halt in U.S. orders comes as the Trump administration’s 25% global tariff on cars and trucks took effect on Thursday, dramatically impacting manufacturers with cross-border production operations.
While Nissan has stated that production of the two Infiniti SUVs will continue for other global markets, the extent of those exports remains uncertain. Data from Mexico’s national statistics agency indicates that the QX50 and QX55 have, until now, been shipped exclusively to the U.S. A Nissan spokesperson in Japan said over the weekend that the SUVs are also sent to markets including Mexico, Panama, the Middle East, and Canada, but declined to detail production adjustments or volumes.
The tariff blow adds further strain to Nissan’s troubled U.S. operations. The automaker has faced declining sales, an aging product lineup, and an absence of competitive hybrid offerings—factors that have already weakened its market position. Nissan exports more vehicles from Mexico to the U.S. than any other Japanese carmaker, making it particularly vulnerable to Trump’s trade actions.
Earlier this year, Nissan had announced plans to reduce production shifts at its Smyrna, Tennessee plant, where it builds the popular Rogue SUV. However, the company said Thursday it would now retain both shifts in a move to sustain U.S. output as Mexican imports face steep new costs.
Nissan’s ongoing struggles prompted the company to slash its profit forecasts multiple times in the last financial year. Its mounting financial difficulties led to a credit rating downgrade to “junk” status by major rating agencies. The pressure has fallen on new CEO Ivan Espinosa, a 46-year-old Mexican national and former global product planning head, who has pledged to speed up Nissan’s car development process and revamp its product lineup.
The COMPAS plant, meanwhile, continues to produce the Mercedes-Benz GLB SUV, though it remains unclear how the tariffs will affect the German automaker’s operations there.
As automakers scramble to adjust to the rapidly shifting trade landscape, Nissan’s decision underscores the growing uncertainty facing global manufacturers reliant on cross-border supply chains. The long-term implications of the tariffs could reshape investment and production strategies for years to come.
