Nissan cancels plans for two US-made electric sedans

Japanese automaker Nissan’s electric plans in the United States has reportedly cancelled plans to produce two electric sedans at its American factories and is also reconsidering the “development schedule” of two battery electric crossovers.

Nissan has been dragged through the wringer in recent years with declining profits, changes in leadership, and a long-term struggle to accommodate the transition to electric vehicles (EVs), culminating most recently in what appears to be a failed bid to merge with Japanese peer Honda.

These difficulties were again on display last week when the company advised that it expected lower than expected sales for fiscal year 2024 of only 3.35 million units – down from 5 million in 2019. The company placed the blame on “changes in the competitive environment and deterioration in sales performance.”

At the same time, Automotive News has reported that Nissan had cancelled plans to build two US-made EVs, known by their codenames LZ1F and LZ1E. It follows massive uncertainty in the market thanks to Donald Trump’s tariffs and his determination to extinguish EV support programs.

Nissan confirmed the text of a memo to suppliers cited by Automotive News , saying in a statement that the “decision to cancel development of the LZ1F/LZ1E projects and to reassess them as part of a new vehicle program” was due to “recent changes in industry market conditions”.

In the same memo, Nissan reportedly said that it will nevertheless begin production of a Nissan-branded crossover under the codename PZ1K in January 2028, although this is already a year behind the original schedule.

A sibling crossover codenamed PZ1J planned by Infiniti, Nissan’s luxury brand division, will similarly enter production in May of 2028, around four months behind schedule.

Nissan had only just unveiled its pipeline of EVs in a March announcement, which included the re-launch of its trendsetting Leaf, now re-envisioned as a small SUV. The company also promised that the new Nissan Leaf will hit Australian shores in 2026.

The company also announced at Auto Shanghai 2025 the new Frontier Pro plug-in hybrid pickup truck, one of nine “new energy vehicles” Nissan plans to launch in China in the next two years.