Nissan threatens GM alliance with plans for new North American plant

No one knows what's going on with the discussions involving a potential alliance between General Motors and Nissan/Renault because those talks have moved behind closed doors. News today that Nissan is considering building another manufacturing plant in North America in 2008 or 2009, however, has many wondering if the proposed fellowship is faltering.
One of the biggest advantages for Nissan of an alliance with GM would be the use of the latter's excess production capacity in North America. Building a new factory in either the U.S. or Mexico (Nissan already has two in each country) may preclude the need for such a partnership with GM.

Though Nissan product pipeline hasn't been gushing new models in a while, the company has eight new models on the way, three of which are slated for the U.S. They weren't mentioned, but we assume the trio includes the G35, Sentra and Altima. Exploratory talks between Nissan/Renault and General Motors are slated to end in mid-November and we'll find out whether this new plant will be built for sure this spring when Nissan releases its next mid-term business plan.

[Source: Automotive News]

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