Despite lower global production, Nissan’s US sales rose 13% in October, driven by strong Sedan Sentra demand. Credit: Nissan Motor Corporation.

Nissan’s global production continued its downward trend for the fifth consecutive month in October, despite a production increase in Mexico.

Sales also declined globally for the seventh month, although the US market showed signs of recovery with the first sales increase in three months.

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Amidst restructuring plans aimed at cutting costs – such as reducing 9,000 jobs and scaling back manufacturing capacity – Nissan is also grappling with the looming threat of US tariffs, which could further disrupt its operations.

In October, Nissan’s worldwide output decreased by 6% year-on-year to 290,848 vehicles.

The US and China both saw a 15% drop in production, while the UK experienced a sharp 23% decline. Japanese production fell by 4%.

In contrast, Mexico emerged as a bright spot, with production climbing 12% to 70,382 vehicles, meaning nearly one in four Nissan cars globally was manufactured there last month.

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Despite the global production decline, Nissan saw a 13% increase in vehicle sales in the US in October, marking the first uptick since July, with the compact sedan Sentra leading the growth.

However, the positive figures from Mexico may be at risk due to potential US tariffs.

US President-elect Donald Trump has indicated he would impose a 25% tariff on imports from Canada and Mexico when he takes office in January.

Nissan, which has exported around 300,000 vehicles from Mexico to the US this year, is closely watching the tariff developments, said Nissan CEO Makoto Uchida.

Sales also rose in Mexico and Canada, but significant drops in China and Europe contributed to an overall 3% decrease in global sales.