On Friday, Nissan Motor Co.’s Chief Operating Officer Ashwani Gupta said that it “may not be a surprise” if the automaker chooses to open another manufacturing plant in the United States. A new facility, which would mark the third in the U.S., would be dedicated solely to building electric vehicles as the demand for them grows. 

Nissan currently operates plants in Canton, Missouri, and Smyrna, Tennessee. Aside from the plant in Tennessee building the Nissan Leaf EV, both facilities produce internal combustion engine vehicles.  

While a potential location of a new plant has not been announced, Gupta said, “The importance of localization will increase year on year.” It is expected that Nissan’s ultimate choice will rely on EV incentives in particular locations and the foreign exchange rate when the automaker is making the potential decision. 

Gupta did say, however, that a third plant will be brand new, even if it is located near the Mississippi or Tennessee plants. Mirroring the existing plants, a new one would be expected to have thousands of employees and build millions of vehicles.  

For the first time in the past three fiscal years, Nissan finally said it had regained profitability, with net profit reportedly landing at $1.7 billion. Global sales rose seven percent for the year but reportedly dropped in the U.S. and Asia.  

Like the entire auto industry, Nissan has been severely impacted by the semiconductor chip shortage, issues with logistics, and periodic shutdowns during the pandemic.

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