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Nissan investing $27M in Mexico plant

Kicks and March model vehicles will continue to be assembled at Aguascalientes factory

The 2021 Nissan Kicks and March model vehicles will be produced at the company’s A1 plant in Aguascalientes, which recently received a $27 million upgrade. (Photo: Nissan)

Nissan Mexicana, a unit of Nissan Motor Co. (OTCMKTS: NSANY), is investing $27.3 million to upgrade its Aguascalientes A1 plant in central Mexico, the company announced Wednesday.

The Japanese automaker has begun production of the 2021 Kicks SUV crossover and subcompact March model vehicles at the plant. Both vehicles will be for sale in Mexico.

The Kicks will also be exported to as many as 62 countries, with most set for the United States, Canada, Chile and the United Arab Emirates, according to Nissan.

The March vehicle model will be exported to 24 countries, with the majority headed to Canada and Colombia.

“The production of the new 2021 Nissan Kicks represented a total investment of $14.1 million, of which $3.2 million was invested in the manufacturing plant — mainly in the conditioning of the assembly lines and in paint dies — and $10.9 million in supply tools, necessary to supply parts for the manufacturing of the model,” Nissan said in a statement.

Nissan opened its A1 plant in Aguascalientes in 1992. The Aguascalientes A1 plant also produces the Nissan Versa and employs about 6,000 people.

Nissan has two other assembly plants in Mexico, including a second plant in Aguascalientes that produces Sentra model vehicles, and a plant in Cuernavaca that produces pickup trucks for non-U.S. markets.

In 2020, Nissan Mexicana produced 418,036 units of the Versa, Kicks, March and Sentra models in its Aguascalientes factories, representing a 21% decline in production compared to 2019.

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Noi Mahoney

Noi Mahoney is a Texas-based journalist who covers cross-border trade, logistics and supply chains for FreightWaves. He graduated from the University of Texas at Austin with a degree in English in 1998. Mahoney has more than 20 years experience as a journalist, working for newspapers in Maryland and Texas. Contact [email protected]