It’s been a rough decade for Nissan Motor Corp. as sales plummeted 40% in the United States, CEO Carlos Ghosn was arrested in Japan, and the brand’s planned EV transformation, beginning with the Ariya SUV, flopped.

So for the 2027 model year, Nissan is going back to basics — beginning with the return of the dirt-chewing, Mississippi-assembled, V6-powered, truck-based Xterra SUV aimed squarely at the Jeep Wrangler and Ford Bronco.

Just three weeks after Hyundai stunned attendees at New York Auto Show media week with the midsized, truck-based Boulder Concept, Nissan announced the Xterra. Based on its midsized Frontier pickup truck, the Xterra was previously produced from 1999-2015. The new model joins an Asian assault on the popular, profit-rich off-road segment as General Motors Co.’s Chevy and GMC brands have focused on new electric vehicles.

The midsize off-road segment — a cash cow for U.S. automakers — has exploded in popularity over the last 10 years, including by 107,000 units in Q4 of 2025 alone. Rushing into the Chevrolet/GMC void, Toyota has added the Tacoma-truck-based Land Cruiser and Lexus GX models to complement its rugged 4Runner.

“The market confirmed that, when the Bronco came back to take on the Wrangler, this is what people want,” said auto analyst Karl Brauer of iSeeCars.com. “Boulder is a perfect example of a new model jumping into a high-passion segment, and Nissan would love to recapture the passion they once had for Xterra.”

Brauer said that GM has left the door open. “I’m surprised. They have Chevy Colorado ZR2 and GMC Canyon pickups — two brands that could easily justify (models) but neither Chevy nor GMC has a ladder-frame, off-road SUV.”

The new Nissan Xterra will be powered by all-new V-6 engines including a hybrid variant, the company said this week. The tried-and-true internal combustion engine tech will be paired with a new, so-called e-Power hybrid system and AI-driven electronics that provide more driver assistance.

V-6 engines are a staple of big Nissan SUVs including the Pathfinder, Armada and Z sportscar. The brand’s best-selling Rogue SUV will also be remade for the ‘27 model year, with updates including an e-Power electrified drivetrain in which a gas engine acts as a generator to power electric motors.

“As we continue on our path to recovery, it is essential that Nissan seizes the opportunities provided by AI technologies, by electrification and the innovation embedded in our latest products to drive market growth and focus relentlessly on serving the customer,” said CEO Ivan Espinosa.

The body-on-frame Xterra is expected to arrive sometime in late 2028 as a 2029 model. The off-road SUV space parallels growth in the related, body-on-frame midsize pickup segment, which has doubled to nearly 5% of truck sales in the 10 years.

The last-gen Xterra, made in Mississippi on the Frontier’s frame, ended production in 2015 as its chassis grew long in the tooth and new government emissions mandates increased costs. Last year, the Trump administration withdrew EPA mandates and returned mpg laws to 2008 standards set by Congress.

“There’s no regulatory reason not to make vehicles like (the Xterra),” said Brauer. “Automakers can make cars that consumers and their market intelligence tell them will sell.”

Hedging against future regulation, Nissan said that “EV investments will remain disciplined and responsive to market conditions and policy evolution.”

Nissan said it also will extend the love to its luxury division, Infiniti. Three new models are promised by 2028, including a hybrid compact SUV (likely based on Rogue) and the return of the V6-powered Q50 compact sports sedan.

The plans are a 180-degree reversal from Nissan’s previous plans to bring 19 new EVs to market for 40% of model share. With the demise of the Ariya last year, the $31,485 Leaf is the only Nissan left in the brand’s EV quiver with just 0.5% of Nissan’s 920,604 sales in 2025. Nissan said its goal is to return to 1 million-plus U.S. sales by 2030 (its high was 1.59 million units in 2017).

Nissan’s U.S. plans came as part of a comprehensive company strategy that focuses on three international markets: Japan, China and the United States. It said product plans emphasize:

1) Heartbeat models (like Xterra Q50, Leaf, Z, Armada NISMO) “embodying Nissan’s identity, emotional value, and innovation.”

2) Core models (Rogue) that “sustain global business with scale and stability.”

3) Growth models (Xterra, Leaf) targeting “expansion where demand is emerging.”

4) Partner models that “extend market coverage through disciplined collaboration.”

Nissan has a partnership in the United States with Mitsubishi to make plug-in hybrid models.

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