Nissan is lobbying Washington officials to reduce tariffs on Mexico-made vehicles to preserve affordability amid record-high new car prices. Christian Meunier, president of Nissan Americas, stressed the need to produce basic models like the Sentra and Kicks in Mexico due to lower labor costs. Tariffs cost the company $2,500 to $3,000 per vehicle.
Nissan is pressing the Trump administration for tariff reductions on Mexico-made cars, arguing it is essential for affordability. Vehicles produced in Mexico accounted for over a third of Nissan's U.S. sales last year, including the Sentra, Kicks, Versa, Infiniti QX50, and QX55.
Christian Meunier explained this at the New York Auto Forum, ahead of the New York Auto Show. "We couldn't make these entry-level cars in the United States at the same cost, we simply couldn't," he said. "The issue is the profit margin."
The Sentra starts at $22,600 and the Kicks at $22,430, while the average new car price was $49,353 last month, below the December record of $50,326. Meunier said U.S. policymakers have been receptive, though trade talks with Canada and Mexico are hindered.
"Affordability is something the government cares about, and they understand our concerns," Meunier stated.