Nissan to close auto plant in Mexico, cutting 2,400 jobs
The company will transfer all vehicle production from Cuernavaca to the Nissan complex in the Mexican city of Aguascalientes by March 2026, according to a news release on Tuesday.
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Cuernavaca is located in south central Mexico, about 360 miles south of Aguascalientes.
'Today we have made a difficult but necessary decision that will allow us to be more efficient, competitive, and sustainable,' Nissan CEO Iván Espinosa said in a statement. 'I take this opportunity to reaffirm our commitment to our employees, customers, and to Mexico, which remains a strategic pillar for our company.'
Related: Ruan Transport laying off 144 workers in Arizona after losing contract
The restructuring will directly impact 2,400 workers at the CIVAC Cuernavaca plant. When the factory opened in 1966, it was the first Nissan auto plant outside of Japan.
The Cuernavaca plant produces versions of its Frontier model built for Mexican and South America markets. The factory also assembles versions of the Nissan Versa model sold in Mexico and the U.S.
Nissan announced in 2024 plans to reduce global production capacity from 3.5 million units to 2.5 million units by reducing production sites in Japan and internationally from 17 to 10 by 2027.
As part of the restructuring, Nissan plans to slash about 15% of its global work force, about 20,000 employees.The post Nissan to close auto plant in Mexico, cutting 2,400 jobs appeared first on FreightWaves.
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Boston Globe
5 minutes ago
- Boston Globe
US government reportedly to take cut of Nvidia and AMD AI chip sales to China
On Wednesday, Nvidia CEO Jensen Huang met with President Donald Trump at the White House and agreed to give the federal government its 15 percent cut, essentially making the federal government a partner in Nvidia's business in China, said the people familiar with the deal. The Commerce Department began granting licenses for AI chip sales two days later, these people said. Though Huang has led negotiations with the White House, Nvidia isn't the only company that sells AI chips to China. AMD has an AI chip called the MI308 and in April the Trump administration also banned sales of it to the Chinese. Advertisement There are few precedents for the Commerce Department agreeing to grant licenses for exports in exchange for a share of revenue. But the unorthodox payments are consistent with Trump's increasingly interventionist role in international business deals involving US companies. In June, the administration approved investment by Nippon Steel, a Japanese company, in US Steel in a deal that included a so-called golden share in the company, a rarely used practice where the government takes a stake in a business. Advertisement The administration is also using tariffs as a stick to bring manufacturing to the United States. Last week, Trump said tech companies would have to pay a 100 percent tariff on semiconductors made abroad, unless they invested in the United States. The deal agreed to last week could funnel more than $2 billion to the US government. Nvidia was expected to sell more than $15 billion worth of its H20 chip to China through the end of the year, and AMD was expected to sell $800 million, according to Bernstein Research. The Commerce Department, White House and AMD didn't provide comment Sunday. Ken Brown, a spokesperson for Nvidia, said the company follows the US government's rules for sales abroad. 'While we haven't shipped H20 to China for months, we hope export control rules will let America compete in China and worldwide,' he said. The deal to license AI chips caused immediate outcry among national security experts who have been opposed to AI chip sales to China. They worry that the Trump administration's decision to leverage export licenses for money will encourage Beijing to pressure other companies to make similar arrangements to loosen restrictions on other technology, such as semiconductor manufacturing tools and memory chips. 'This is an own goal and will incentivize the Chinese to up their game and pressure the administration for more concessions,' said Liza Tobin, who previously served as China director at the National Security Council during the Trump and Biden administrations. 'This is the Trump playbook applied in exactly the wrong domain. You're selling our national security for corporate profits.' Advertisement The Financial Times earlier reported on the deal between the chipmakers and the Trump administration. Clearing the way for selling AI chips to China was a dramatic about-face by the Trump administration, which banned their sales to China in April. The administration restricted exports of those chips because of concerns that the technology could be used to close the gap between the United States and China in the development of artificial intelligence. The administration's reversal on AI chip sales has been divisive because it has major implications for the race between the two countries to develop AI. Nvidia's chips are regarded as ideal for running some calculations that power AI and have better performance than those offered by its Chinese rival, Huawei. The Trump administration has said that it will continue to prevent China from buying Nvidia's most advanced chips. It has said that the H20 chip, which was made specifically for China and was approved for sale by the Biden administration, is less powerful than the chips the company sells to US businesses and allies. 'We don't sell them our best stuff, not our second-best stuff, not even our third-best,' Commerce Secretary Howard Lutnick said during an appearance on CNBC last month. He said the goal was to stay one step ahead of China, so it would keep buying US chips. Huang persuaded Trump to approve AI chip sales by arguing that preventing them would only hurt US tech companies. He has said a ban would allow Huawei to dominate sales of AI chips in China, the world's largest semiconductor market, and pump the money it makes into research and development to close the gap with Nvidia, AMD and others. Instead, he urged Trump to let Nvidia and AMD compete for those sales, so that they can use the money they make there to build their businesses. Advertisement 'The American tech stack should be the global standard, just as the American dollar is the standard by which every country builds on,' Huang said during a podcast recorded in July with the Special Competitive Studies Project, a think tank. But many national security officials focused on China disagree. In July, two former national security officials in the Trump administration, Matt Pottinger and David Feith, and 18 other people with a mix of national security and economics expertise wrote a letter to the administration calling its policy change 'a strategic misstep that endangers the United States' economic and military edge in artificial intelligence.' The group said that the H20 would be 'a potent accelerator of China's frontier AI capabilities, not an outdated chip.' Nvidia's wins in Washington have brought it headaches in Beijing. Late last month, China's internet regulator, the Cyberspace Administration of China, summoned Huang to a meeting over the possibility that the H20 chip could have 'backdoor security risks.' Chinese state media has discouraged companies from buying the H20 over the issue. Last week, Nvidia published a blog saying that its AI chips don't have back doors. It also condemned a congressional effort to pass a law known as the Chip Security Act, which would require it to track its chips as a way to prevent the technology from being smuggled to China. Advertisement 'There is no such thing as a 'good' secret backdoor -- only dangerous vulnerabilities that need to be eliminated,' the company said. This article originally appeared in .
Yahoo
33 minutes ago
- Yahoo
Winners and losers from IndyCar's Portland 2025 title decider
After a furious summer stretch, the NTT IndyCar Series field rolled into Portland International Raceway fresh from an off-week and with just three races remaining in the 2025 season. That meant all eyes were on the championship fight and silly season storylines. Alex Palou was within reach of another title, Pato O'Ward was desperate to keep him from clinching it early and several drivers were fighting to prove their worth in the final road course race of the year. In the end, some got their wish, while others were left rueing a lost opportunity out west. Here are the winners and losers from the Grand Prix of Portland. Winner: Alex Palou does it again Alex Palou, Chip Ganassi Racing This time, for the Astor Cup. Palou didn't win Sunday's race, but he claimed another podium finish in third to officially secure the IndyCar title. The Chip Ganassi Racing star is now a four-time champion at just 28 years old. Not too shabby. Loser: Pato O'Ward's valiant effort comes up empty Patricio O'ward, Arrow McLaren, Felix Rosenqvist, Meyer Shank Racing Well, he tried. In need to a herculean effort to even extend the IndyCar championship battle to Milwaukee, O'Ward was second in qualifying and inherited the pole when teammate Christian Lundgaard took a six-place grid penalty for an engine change. The Mexican led early and tried to keep the pressure on Palou, but a mechanical issue ended any hope late in the race's opening quarter. From there he lost 10 laps and ended up 25th while Palou secured another series championship. Better luck next year. Winner: Finally, a good day for the Captain Will Power, Team Penske It's been a no good, very bad year to be a Team Penske driver. But in what might be his final road course race for the team, Will Power finally handed the group a win in the 2025 IndyCar season. Despite being on the hot seat, Power's been the most consistent of Penske's star trio this year, giving the organization a lone top-10 driver amid its worst campaign in years. Now he's brought the company its lone win of 2025 and provided a bright point to a dark year - and a rough PR week. Loser: Penske gets dragged into the ICE Days before IndyCar ventured to a hot Oregon to wrap up its road course slate, the series found itself dealing with ICE. The U.S. Department of Homeland Security posted and later deleted an X post depicting an AI-generated Indy car with the No. 5 to promote a new immigrant detention facility in north-central Indiana, referred to as the 'Speedway Slammer.' Whether purposeful or not, the number tied the post to IndyCar's lone Mexican driver, O'Ward. After calls from Penske Entertainment, the image of the No. 5 was removed when the post was deleted. But the DHS later posted another image of multiple Indy cars in front of a prison (shown above). That wasn't the only piece of tricky PR for Penske and the DHS, either. A separate video showed ICE agents emerging from a Penske box truck while raiding a parking lot at a Los Angeles-area Home Depot, yielding a statement from Penske Truck Rental vowing to 'reinforce its policy to avoid improper use of its vehicles in the future.' It was a tough week for the Captain. At least it ended on a high note. Winners: A grand recovery for Rahal, Ilott Graham Rahal, Rahal Letterman Lanigan Racing, Louis Foster, Rahal Letterman Lanigan Racing As many noted throughout the race, passing at Portland is a challenge. There's a reason nearly every winner in IndyCar's modern era has come from the front row. So for Graham Rahal and Callum Ilott to avoid incidents and rise from 22nd and 24th, respectively, to top six runs was impressive. The two used similarity strategies, pitting after the opening caution to get off the primary tire and using reds for pace from there to the finish. Rahal managed to cycle through to fourth using the strategy, with Ilott just 10 seconds back in sixth. That's how you salvage a weekend when qualifying goes awry. Loser: Conor Daly goes wheel to wheel with Christian Rasmussen It had a degree of inevitability to it. Daly was battling with Rasmussen on an early restart when Rasmussen went wide and sent the Hoosier off-course. From there, it seems both drivers saw red. Daly tried a lunge in turn 2 on the next lap, finally got to Rasmussen's outside a couple laps later and was poised to take the spot. Then, contact. Daly was out of the race from there in 26th - and he wasn't happy about it. Rasmussen avoided a penalty and went on to finish 12th. Winner: Christian Lundgaard's consistent weekend Christian Lundgaard, Arrow McLaren, Marcus Ericsson, Andretti Global, Alex Palou, Chip Ganassi Racing Under different circumstances, this weekend could have been all about Arrow McLaren. Lundgaard entered with a six-place grid penalty after his No. 7 team took its fifth engine of the year, but he qualified it first before the drop with O'Ward inheriting the pole. Things went south from there for O'Ward, but Lundgaard kept pushing forward on Sunday. The 24-year-old was among the race's most impressive drivers, snatched two early spots on restarts and used strategy to rise to second in the closing laps. He couldn't pass Power, but Lundgaard kept Palou at bay in the closing stretch to cap off another impressive run in second. Arrow McLaren could have two title contenders in 2026. Loser: Whoever designed this "The Final Stretch" graphic This crack-up happened during the off week, but don't think we weren't paying attention. What was meant to be a simple graphic highlighting the final races turned into a running joke when the word 'Final' appeared to spell something different entirely. IndyCar's social team quickly deleted the post and altered the graphic before reposting, but things on the internet tend to live forever. Font choice matters, y'all. Winner: An issue-free weekend for Alexander Rossi Alexander Rossi, Ed Carpenter Racing There's not much to say about this result - and that's a good thing. It's been an up-and-down year for Rossi and Ed Carpenter Racing's No. 20 team. Moments of pace have been undone by crashes, pit road issues and a few instances of bad luck. None of that happened this weekend. Rossi qualified seventh, inherited sixth with Lundgaard's grid penalty and put together a quiet, consistent race to score a season-best finish in fifth. Sometimes, uneventful days are the best days. Read Also: Will Power races to nail-biting IndyCar Portland win for Team Penske Alex Palou is your 2025 IndyCar series champion with podium finish in Portland To read more articles visit our website.
Newsweek
an hour ago
- Newsweek
Mexico Makes Tomato Price Changes in Response to Trump's Tariffs
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Mexico has established minimum export prices for fresh tomato exports to the U.S., after President Donald Trump imposed tariffs on tomatoes and withdrew from a bilateral agreement that would have prevented these from taking effect. In the joint announcement, published in the federal gazette on Friday, the country's economic and agricultural ministries said this will allow Mexican tomatoes to maintain access to the key international market. Newsweek has contacted the ministries via email outside of regular business hours for further information on the order. Why It Matters The vast majority of Mexico's tomato exports are destined for the U.S. According to the U.S. Department of Agriculture, of the estimated 2 million metric tons the country will export in 2025, 1.8 million will end up in the American market. The latest anti-dumping duties imposed by the Trump administration risk disrupting this agricultural trade flow and impacting thousands of jobs in the country. Mexico's move is intended to protect its domestic producers from these latest tariffs while preserving internal supplies and staving off downward price pressures. It also comes as the two nations work to finalize a lasting trade agreement. What To Know In July, the Department of Commerce announced that the U.S. would be withdrawing from a 2019 agreement which had suspended investigations into whether Mexico was dumping tomatoes— exporting a product below its normal value or price point—in order to gain a competitive foothold in the American market. As well as terminating the agreement, the department announced that the U.S. would be issuing a 17 percent tariff on most imports of fresh tomatoes from Mexico. Given their dependence on the U.S. market, tomato exporters in Mexico warned that the tariff could significantly destabilize the industry. Moisés Atri, export director for the producer Veggie Prime told The Associated Press that its profit margins were too thin to absorb the new duties and expressed hope that American retail clients would bear some of the costs. Tomatoes from Mexico are displayed on a grocery store shelf on July 14, 2025 in San Anselmo, California. Tomatoes from Mexico are displayed on a grocery store shelf on July 14, 2025 in San Anselmo, Friday's announcement, which has the support of Mexico's tomato producers, according to Reuters, is intended to ease some of these challenges. Setting minimum export prices can ensure exporters don't engage in a race to the bottom that could erode profit margins, helps maintain market stability, while also easing the trade tensions caused by accusations of dumping. Georgina Felix, director of operations at the Fresh Produce Association of the Americas, told Bloomberg that the move is intended to "help growers avoid an increase in anti-dumping duties in the future." Mexico has set specific minimum export prices per kilogram for fresh tomatoes by variety, including $1.70 for cherry and grape tomatoes, $0.88 for Roma tomatoes and $1.65 for round, stemmed tomatoes. The pricing decree applied to definitive exports and did not cap export volumes or set maximum prices, the Mexican ministries said in the joint statement. What People Are Saying Mexico's economy and agriculture ministries, in the joint statement, said: "Failure to establish a minimum export price could lead to price distortions if tomatoes are exported to the U.S. below production costs, disrupting the existing order of the fresh tomato export market and international markets." "Establishing minimum export prices is not intended to restrict volumes, set maximum prices, or distort the market," it continued, "but rather to strengthen and maintain the existing order in the fresh tomato export industry." U.S. Secretary of Commerce Howard Lutnick, upon announcing the new tariffs in July, said: "Mexico remains one of our greatest allies, but for far too long our farmers have been crushed by unfair trade practices that undercut pricing on produce like tomatoes. That ends today. This rule change is in line with President Trump's trade policies and approach with Mexico." Mexican President Claudia Sheinbaum, following the tariff announcement, said: "Mexican tomatoes will continue to be exported to the United States, because the United States has a demand that it cannot meet with any other tomatoes produced anywhere else in the world, even with the additional 17 percent." What Happens Next? In Friday's announcement, the ministries said the minimum export prices will be reviewed at least annually or earlier "when market circumstances warrant." In late July, Trump said that he had placed a 90-day pause on higher tariff rates for Mexico, "with the goal of signing a Trade Deal somewhere within the 90 Day period of time, or longer."
