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Nissan cuts production at U.S., Mexico plants amid supply chain disruptions

March 19, 2021
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Nissan Motor Co, is curtailing production at North American assembly plants as a result of the microchip shortage roiling the auto industry.

In Smyrna, Tenn., production of the Murano crossover will be suspended through Monday. Meanwhile, weekend overtime to build the Rogue crossover, Maxima sedan and Leaf electric hatchback has been canceled.

Nissan will idle the Altima sedan line at the Canton, Miss., factory through Monday and cancel weekend overtime on the NV commercial van line. A Nissan spokesman said output of 2 pickups — the Titan and Frontier — will not be affected.

In Aguascalientes, Mexico, output of the Versa subcompact and Kicks compact crossovers will be halted through Tuesday.

“We continue to work closely with our supplier partners to assess the impact of supply chain issues and minimize disruption for vehicle deliveries to our dealers and customers,” Nissan spokesman Brian Brockman said late Thursday.

The chip shortage briefly halted production of the Altima and pickups early this year.

Tight microchip supplies has affected U.S. production at several automakers, including General Motors, Ford Motor Co. and Toyota Motor Corp.

IHS Markit forecasts that chip-related supply issues will linger into the second quarter and possibly even the second half of the year.

In addition to microchips, Nissan is grappling with other industrywide shortages, such as seat foam, suppliers said Thursday.

When refineries in Texas had to stop processing oil because of the unprecedented winter storm, they also stopped making byproducts such as propylene oxide needed for a range of industrial uses — including foam used in auto seats.

The winter storm also shut Nissan’s U.S. plants for five days last month.

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