Nissan Motor has suspended production of three vehicle models destined for Canada at its Tennessee and Mississippi plants due to escalating trade tensions between the United States and Canada, the Nikkei reported on Wednesday.
The production freeze, which began in May, affects the Pathfinder and Murano SUVs assembled in Tennessee and the Frontier pickup trucks built in Mississippi, the report stated.
The suspension follows the Trump administration’s decision in April to impose an additional 25% tariff on imported automobiles, triggering retaliatory tariffs from Canada. The tit-for-tat measures have disrupted cross-border automotive trade and production planning.
Mazda Motor has also responded to the trade dispute by halting Canada-bound production at its Alabama plant, while simultaneously ramping up output for the U.S. domestic market, the company confirmed in May.
Amid the developments, Nissan shares fell 3.0% by mid-morning trading in Tokyo, significantly underperforming the Nikkei index, which was down 0.14%.
