Xterra’s Return May Trigger A Whole New Wave Of Rugged Nissan SUVs

Last week, a report out of Japan suggested Honda and Nissan were in talks about building trucks in Canton, Mississippi. Fast forward to today and it sure sounds like something big is in the works.

While Nissan was originally planning to turn their Canton plant into an EV factory, the company is now said to be working on a Plan B. Citing an insider, AutoNews reports the firm is now developing a “comprehensive body-on-frame product strategy” for the facility.

More: Nissan Wants To Bring Back Xterra As A Rugged Hybrid SUV

Under the rumored plan, Nissan would assemble the Armada and Infiniti QX80 SUVs at the plant. This would enable them to avoid tariffs, while also establishing production in a key market for sales.

The plant would also build two new truck-based SUVs, which would lean on the next-generation Frontier. One of these is rumored to be an Xterra revival, which would be offered with a plug-in hybrid or ePower system. An Infiniti variant is also expected and it would presumably battle the Lexus GX as a modern-day successor to the QX4.

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It’s believed the new models would enable the plant to build over 400,000 vehicles annually. That would reportedly be enough to keep “two assembly lines running at full capacity and the other at half” capacity. This is important as the massive plant is currently operating at less than half its capacity as it’s only building the Altima and Frontier.

Nissan wouldn’t confirm the report, but spokesman Brian Brockman told the publication they’re “actively exploring” ways to build more body-on-frame vehicles. He added, “We are considering that enhancements might be possible within our current manufacturing arrangement as a starting point.”

Honda is notably absent from these plans and the reported truck deal is said to be “far from being done.” An insider even went as far as calling it “pie in the sky at this stage.”

While the Honda truck sounds like wishful thinking, it appears Nissan is afraid the end of EV tax credits will doom electric vehicle sales. One person said they’re expecting the market to “really collapse” and this could help explain the shift away from building EVs in Canton.

That being said, a recent report suggested two new electric crossovers will be built at the facility despite a ten month delay. A Nissan variant is slated to go into production in November 2028 and be followed by an Infiniti in March of 2029.

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