Nissan Launches Leaf Battery Pack Production in Tennessee
Nissan’s Smyrna plant in Tennessee has started manufacturing lithium-ion battery packs for the Leaf, supported by a $1.4bn federal loan and creating over 300 jobs.
Nissan’s Smyrna facility in Tennessee has begun producing lithium-ion battery packs for the Leaf, marking a major step in the company’s US electric vehicle manufacturing strategy. The first completed battery packs rolled out in late 2012, two years after the Leaf’s American launch.
The battery plant, built with the help of a $1.4bn low-interest federal loan, is located adjacent to Nissan’s existing vehicle assembly operations. Nissan said more than 300 jobs have been added across the battery plant and the assembly facility, with further recruitment expected as Leaf production ramps up locally.
Nissan’s US-built battery packs are designed exclusively for the Leaf, which had previously relied on imported batteries from Japan. The company stated that the Tennessee plant can manufacture up to 200,000 packs per year, making it one of the largest lithium-ion automotive battery facilities in North America at the time. The new battery supply is intended to support both domestic Leaf production and the wider adoption of electric vehicles in the US market.
Leaf sales and local manufacturing plans
Despite the expanded US investment, Nissan’s Leaf sales in the United States had not met company targets by the end of 2012. CEO Carlos Ghosn had aimed for at least 20,000 units sold in the year, but Nissan reported 8,330 Leaf sales in the first eleven months. The company planned to introduce an updated Leaf in early 2013, hoping that local production and the new battery facility would help boost sales and reduce costs.
The Smyrna battery plant’s launch follows similar moves by other manufacturers, including Ford’s Michigan-based Focus Electric production and Tesla’s battery assembly in California. Nissan, Ford and Tesla all received federal loans to accelerate US electric vehicle and battery manufacturing. For Nissan, the Tennessee operation is central to its strategy of making zero-emissions mobility more accessible and affordable in North America.
What it means for workers and supply chain
The opening of the battery plant has created new jobs in Tennessee, with Nissan hiring both for the battery facility and for the adjacent vehicle assembly line. The company’s investment is intended to anchor more of its electric vehicle supply chain in the US, reducing reliance on overseas shipments and potentially insulating production from currency fluctuations or supply disruptions.
For buyers, local battery production could eventually help lower the Leaf’s cost and improve availability. Nissan’s move also puts pressure on rivals to localise battery supply as electric vehicle adoption grows. The company’s Tennessee battery plant stands alongside similar investments in the UK and Europe, reflecting a broader trend towards regional EV supply chains.
- Nissan Leaf battery packs now produced in Tennessee
- Annual capacity of 200,000 packs supports US Leaf production
- Over 300 jobs created at Smyrna site