Nissan Reportedly Scaling Leaf EV Production Plans Way Back
Nissan appears to be facing rare earth material shortages that could affect the production of the new Leaf.
Chinese restrictions on rare earth exports are causing bottlenecks in the global EV industry.
There’s also been a delay in plans for the production of two new EVs at Nissan’s Mississippi-based factory.
UPDATE 7/11/25: A Nissan spokesperson has responded to our request for comment about the Leaf’s production delay, saying, “The all-new LEAF is progressing on schedule toward its planned launch. Sales are expected to begin in the United States in fall 2025, with deliveries in Japan planned within the year and in Europe around spring 2026. We do not have any comment on speculative reports.” The spokesperson also commented on the production timeline for its plant in Canton, Mississippi: “As part of our ongoing commitment to delivering the right product at the right value for our customers, we’ve made the strategic decision to slightly adjust the production timeline for our EVs at the Canton plant. Our goal is to ensure that this facility continues to bring highly competitive vehicles to market that exceed customer expectations.”
Just as Nissan was about to turn over a new Leaf, literally, it appears as though the company’s plans have run into some headwinds. According to a report from Reuters in Tokyo, a shortage of parts caused by Chinese restrictions on rare earth imports has caused production plans to be scaled back.
The all-new Leaf was set to launch for the 2026 model year as a larger vehicle than the original hatchback. Now a small crossover, it was claimed to have a decent range of up to 303 miles in the S+ trim, and a starting price in the mid-$30,000 range. Just as with the original, the 2026 Leaf was aimed at offering EV mobility at a relatively accessible price.
The elimination of the federal EV rebate program will certainly have a cooling effect on U.S. sales of the little electric Nissan. Globally, though, it’s the rare earth shortages that will affect production in the markets of Japan and Europe. Already, Nissan has begun voluntary retirement talks with workers at a plant in the U.K. where the Leaf is to be produced.
Currently, Nissan is conducting an ambitious plan to reduce its workforce by 15 percent, while shuttering seven plants. The company’s financial situation is pretty shaky, and slowing EV sales aren’t going to help. Meanwhile, there’s also a 10-month delay for two planned EV models that were to have been built at Nissan’s plant in Canton, Mississippi.
While the health of Nissan’s dealer network in the United States is probably more dependent on sales of mainstream combustion-powered crossovers like the Rogue and Pathfinder, the renewed Leaf should have provided sales growth for the brand. The original had a few missteps at launch, but ultimately delivered on its mission for practical EV transportation. This new model would have built on that reputation and offered the kind of space and pricing many EV shoppers are looking for.
Even if the new Leaf proves to be better than ever, it faces a tough growing season ahead.
