Nissan Launches Production of Redesigned Maxima Sedan

May 28, 2015

Redesigned Maxima

Nissan hosted a ceremony at its large Nashville, TN plant where company officials were delighted to highlight the new and more aggressive interior and exterior designs that have been many months in the making. Along with all- new looks, the Maximum will offer sportier handling and more importantly, it will house a 300 horsepower engine under the hood that is expected to average approximately 30 miles per gallon.

Large Sedan Sales Lagging

Currently there has been a worldwide drop in large sedan sales, one that Nissan hopes the new Maxima will be able to overcome. In 2000 the large car segment made up a full 5 percent of U.S. auto sales, but by last year this percentage had dropped to only 2 with the trend continuing a downward spiral according to Ward’s AutoInfoBank.

To some extent these flagging sales can be blamed on increasing mid-size auto sales as they have begun to increase in size, comfort, and overall luxury. Slower sales can also be blamed on the huge surge in SUV sales as buyers seek more multipurpose vehicles capable of carrying more passengers in spacious comfort.

According to Vice President for Product Strategy and Planning for Nissan North America Pierre Loring, the large car market currently offers plenty of room for growth. Current sales are hovering around the 650,000 mark with only a few of the world’s car manufacturers even offering cars in this segment. Loring goes on to say,” The segment is very volatile, and when you bring a very strong product it grows because those cars manage to catch customers from other segment.” “And for us, there is some cross-shopping on entry luxury,” Loring goes on to say. “Which when you’re a non-luxury brand you have to cherish that position.”

Going Up Against the Competition

Loring stated that the all-new Maxima is more than ready to take on competitors such as the Avalon from Toyota and Chevrolet’s Impala, both of which are considered to be successful large-size sedans. In fact it is quite possible that the new Maxima may compete well against several entry level luxury cars such as the BMW 3 Series and the Acura TLX.

The new Maxima is expected to go on sale later this summer and is expected to cost buyers between $32,410 and $39,860 depending on the trim levels and options chosen. This pricing structure should put the Maxima well within reach of those interested in buying a larger sedan.

Production Levels

In the years 1994 through 2000 sales of the Nissan Maxima typically reached more than 120,000 units per year. The highest sales volume was reached in 1999 when sales hit a peak of 131,182 units. However, sales have not gone over 60,000 Maximas per year since 2010, a fact that the all-new Maxima is expected to overcome in very short order.

At the same time, Nissan’s mid-size Altima enjoyed sales of over 335,000 last year, while the Rogue sold almost 200,000 units in the same time frame according to records provided by Autodata Corp. The Nissan assembly plant, which was built in 1983 now employs over 8,400 people and produced 648,000 units last year. This makes it the highest producing assembly plant in North America, a factor that may have influenced the decision to build the new Maxima here.

This plant has been building Maximas, Rogues, Leafs, Pathfinders, and the Infiniti QX60 since it was first opened. Nissan also announced its plans to build a 1.5 million square foot logistics facility next to the assembly plant by the end of 2017. Nissan’s overall goal is capture 10 percent of the U.S. auto sales market in the very near future.