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Monday, 19 September 2011

Nissan To Build Infinitis Outside Japan

2012 Infiniti FX35 image

Infiniti models have long been built in Japan and imported to markets like the Unites States. However, that's all about to change according to Nissan chief executive Carlos Ghosn.

Due to the strong yen, Infiniti cars built in Japan are less price competitive with rival luxury brands. As a result, Nissan and other Japanese automakers are searching for new production bases overseas.

Currently, Nissan is strengthening the Infiniti brand in relatively new markets worldwide. With the brand's growth, it seems an appropriate time to consider new production locations.

Sources said earlier that Nissan would announce plans to build a premium compact car in Europe based on a Mercedes-Benz architecture in the next couple of years, making it the first Asian luxury brand to manufacture there. Nissan hasn’t yet confirmed this decision, but the automaker has hinted at building multiple new plants, including one in China, to meet rising demand in the two regions.

“Why are you assuming it’s one plant? The volume of the C-segment in the luxury space is the biggest TIV (total industry volume),” executive vice-president Andy Palmer told Reuters.

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