Nissan Announces R$ 1.3 Billion Investment in RJ Factory to Ensure Modernization and Expansion of Production Capacity

Nissan Is Ensuring the Modernization and Expansion of Its Production Capacity at Its Factory in Resende (RJ), and Announced a New Billion-Dollar Investment in the Unit. The Investment Also Opens Doors for an Update on the Kicks SUV

This Wednesday (06), Nissan announced, during the launch event of a new version of the Frontier pickup in Puerto Iguazú, Argentina, that it will invest R$ 1.3 billion in its factory in Resende (RJ) between 2022 and 2025. According to the automaker’s announcement, the amount will be directed towards modernizing the manufacturing unit and expanding vehicle production capacity, including new models from the brand. Currently, Nissan produces the compact Kicks at its RJ factory. The total investment amount is similar to the R$ 1.1 billion announced for 2021 and 2022, according to the short-term planning.

Kicks SUV May Get a New Update

This is not an investment with a significant enough amount to guarantee the production of a new vehicle, but it is sufficient to expand the production capacity of the factory in RJ and promote a possible deeper update of the Kicks SUV, the only car currently manufactured, or a new version using the hybrid e-Power mechanics that has been suggested for years.

The hybrid technology, where the combustion engine does not provide traction to the wheels but generates energy for the electric motor, is still a hot topic among Nissan executives.

Nissan Mercosur President Airton Cousseau believes this is the next step for the company’s continued electrification in Brazil, as it is an amazing technology with the potential to revolutionize how consumers view conventional hybrid models.

570 Employees Have Been Hired to Work at the Resende Factory in RJ

For now, what is certain is that the factory receiving investments is resuming the second production shift, which had been canceled in 2020 when around 400 employees were laid off.

Nissan has now hired an additional 570 employees, and there is an expectation that the Frontier will also gain space in the second shift at the Resende (RJ) unit. The Argentine unit, Santa Isabel, can produce 15 pickups per hour, equivalent to around 105,000 units annually.

With a total investment of $730 million, Nissan announced this Wednesday (6) that it plans to open the second shift, aiming to expand production and send the pickup to two new markets: Colombia and Chile.

Learn More About the Nissan Event

Sales of the electric car Nissan Leaf were also celebrated during the event. Sales in South American markets increased significantly. There were 91 units sold in 2019, and last year, those sales jumped to 501. The Leaf was even the best-selling electric car in the country last year.

According to Cousseau, Nissan was greatly surprised by this vehicle’s sales performance, and the company’s main intention at the moment is to promote the electric experience for consumers in the country. The Leaf was the first electric car sold in the country with large-scale production, and it is this successful trajectory that has allowed the company to achieve impressive numbers.

However, the goal is still to invest in charging infrastructure and demonstrate that this technology is the present and the future. Also present at the automaker’s event was the Nissan Ariya, the newest electric car from the manufacturer, which features a motor on each axle totaling 390 horsepower and a range of 460 km.