Tuesday, August 31, 2010

Nissan Xterra to Be Killed Off?

The Nissan Xterra is, overall, an excellent vehicle.  It doesn't pretend to be anything other than a rugged, tough, body-on-frame SUV that can actually survive a venture off road.  For the longest time, these virtues made it very popular.  Motor Trend twice awarded SUV of the Year.  But consumer tastes have made an about face, and what were once considered virtues are now drawbacks.

According to a Wards Auto, Nissan is seriously considering dropping the Xterra in the US market.  The numbers speak for themselves: nearly 90,000 Xterras found owners in 2000.  But through July 2010, only about 12,000 have been sold.

What's the problem?  The recession, combined with a spike in fuel prices, scared off Americans from burly gas hogs like the Xterra.  People are opting more and more for crossovers, which still provide the space, all-wheel-drive, and cool factor of a conventional SUV, but with better on-road manners and mileage. 

Nissan also has to consider upcoming federal fuel economy regulations.  The Xterra, which gets only 15 MPG around town, makes meeting these regs all the more difficult.

[WardsAuto]

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