Monday, July 23, 2012

Nissan Rogue Replacement Coming in 2013


Comedian Chris Rock’s 1999 homily “No Sex in the Champagne Room” wisely observes, “Cornbread: ain’t nothing wrong with that.” The same could be said for Nissan’s compact crossover, the Rogue. As a vehicle, it’s fine. It’ll be replaced next year, with production starting in Smyrna, Tennessee. About a year later, Nissan also will start producing Rogues in South Korea—some will be shipped here to supplement the Tennessee supply. 

There isn’t a whole lot to say about the next Rogue because it’s still far off. Guided by Sir Occam, we’d guess that the next Rogue will grow just a bit in size, ride on the upcoming Sentra‘s platform, and use a four-cylinder engine that displaces about two liters.

Here’s the why for building it in South Korea: The current Rogue is built in Japan, a practice that Nissan and other automakers are trying to get away from; the Yen is pretty strong compared to the dollar, and that makes Japanese-made cars expensive to sell in the U.S. The next Rogue will be built here in the U.S., but Nissan thinks that U.S. and global demand will exceed what it can do in its Tennessee factory.

As a result, Nissan has turned to its live-in significant other, Renault—in MBA jargon, they have a manufacturing alliance, hold stakes in each other, and share a CEO. Renault bought controlling ownership in a small South Korean car manufacturer called Samsung more than a decade ago, so the Busan-based factory is available. South Korea and the U.S. have a free trade agreement that adds a relatively minimal 2.5-percent tariff to imported vehicles through 2015; after that, there’s none at all. The bottom line is that Nissan needs the space, has some in South Korea, and the costs of building the Rogue there are reasonable.
The current Rogue still is a deservedly strong seller for Nissan; we just hope the company doesn’t Versa-fy the next generation of it.

0 comments:

Post a Comment

You will be redirected to the script in

seconds