Nissan Deliberates over Modifications at Its Morelos Production Site
In a recent development, Japanese automaker Nissan has confirmed plans to close its Civac plant in Morelos, Mexico, by March 2027. The plant, which has been in operation for nearly six decades, produces the Navara pickup and Frontier trucks for Latin America.
The decision is part of Nissan's global restructuring plan, which involves the closure of seven plants worldwide, a reduction in production capacity by about 30%, and a workforce reduction of 20,000 by 2027. The closure of the Civac plant is linked to the discontinuation of certain models and partnerships, including the ending of a joint venture with Mercedes-Benz that relies on Nissan’s Mexican operations.
However, it is important to note that Nissan is not leaving Mexico. The company will continue operating its two other plants in Aguascalientes, where production of Infiniti models and Mercedes-Benz GLB will end by early 2026 or 2027, coinciding with these changes. Nissan is also increasing production of some models in the country.
Victor Sanchez Trujillo, the Secretary of Economic Development and Labor in Morelos, has made a statement to avoid uncertainty among Nissan's workforce in Morelos. He has emphasized that any new developments regarding Nissan's operations in Morelos will be announced concretely and not unofficially.
Previously, there were reports suggesting that Nissan was considering closing the Civac plant in Morelos and the COMPAS plant in Aguascalientes. However, Nissan has only decided to close those plants that have already been reported, which does not include Civac. The production line that was relocated from Argentina to the Civac plant in Morelos is still in place, and Nissan is maintaining production at the Jiutepec plant in Morelos.
The Morelos government and Nissan representatives have agreed to coordinate through institutional channels for any changes in business decisions regarding Nissan's operations in Morelos. The Secretary of Economic Development and Labor in Morelos, Víctor Sánchez, is monitoring and maintaining dialogue with Nissan's management regarding its operations at the Jiutepec plant.
Sources: Automotive News, Morelos Daily Post, El Sol de Cuernavaca.
The global restructuring plan of Nissan includes the closure of several plants worldwide, such as those in the automotive and finance sectors, to reduce production capacity and workforce. Despite the closure of the Civac plant in Morelos, Nissan is continuing its operations in the transportation industry within Mexico, focusing on other plants in Aguascalientes and maintaining production at the Jiutepec plant in Morelos.
