Infiniti will ditch a pair of low-volume compact crossovers — shrinking an already anemic product pipeline until a new utility model arrives next year.
Production of the QX50 and QX55 will end in December, Infiniti told retailers at its Jan. 24 make meeting.
The Japanese premium brand said it would build enough of the compact crossovers to supply dealers into summer 2026.
Nissan Americas product planning boss Ponz Pandikuthira said the decision was necessary as the brand strives to move upmarket.
“If you go into a showroom and you have cars like the QX60, the QX80, the special versions we have planned — QX50 and QX55 start looking dated,” Pandikuthira told Automotive News. “So we have to make the tough call to focus on the new lineup and then talk about the new vehicles in the C and D segments in the next couple of years.”
The two Infiniti models are built alongside the Mercedes-Benz GLB in a joint-venture factory in Mexico. The future of that plant is in question, with GLB production expected to end there in 2026.
Changing direction
Pandikuthira said he is confident Infiniti can satiate the QX50 and QX55 customer market with the three-row QX60 and a new coupelike, two-row QX65 planned for next year.
“You might lose some of the very deal-focused, lower-end [consumers], but that’s really not what we’re planning to do with Infiniti as a brand,” the executive said.
Some retailers are concerned about the loss of the entry models as they watch the brand’s market share and their profitability evaporate.
Infiniti’s U.S. deliveries cratered 51 percent last year from before the pandemic, according to the Automotive News Research & Data Center. The brand had just 2.8 percent of the luxury market in 2024.
Financial data obtained by Automotive News shows that Infiniti stores had an average net loss of $79,581 in the first nine months of 2024, compared with a profit of $421,169 a year earlier. Dealership return on sales fell to -0.3 percent in the first nine months, from 1.3 percent in 2023.
While the QX65 will become Infiniti’s entry model, it is unlikely to make a material difference to sales, said a retailer who asked not to be identified speaking about internal matters.
“QX65 will help us keep the volume where it is, which isn’t anywhere near enough,” the dealer said. “We need a true car as an entry-level, something smaller off of the [Nissan] Rogue.”
Infiniti Americas Group Vice President Craig Keeys acknowledged the realities his retailers face.
“We know that these are dynamic times, but momentum is on our side and we are going to be acutely focused on [dealer] profitability in 2025,” Keeys said.
He said retailers are beginning to reap the benefits from profit margin support last year. The brand expects the redesigned QX80 large SUV and future products, including a pair of EVs, to drive foot traffic into showrooms.
“Our retailers on average nationally will end up in the black for the [2024] calendar year,” Keeys said. “With more throughput, I’m very optimistic that the additional margin support we provided will enhance retailer profitability.”
Infiniti National Dealer Advisory Board Chairman Will Bonilla said Nissan North America’s new leadership has its focus in the “right direction on profitability and product.”
Infiniti would like to reduce inventory to less than a 60-day supply, Bonilla said.
“That would certainly help increase throughput and reduce carrying costs,” he said.
At the meeting, attended by representatives from about 20 percent of the retail network, newly minted Nissan Americas chief Christian Meunier said he would advocate for dealers’ interests with his bosses at headquarters in Yokohama, Japan.
“Meunier said he’s going to bring energy and focus and push the envelope on what’s possible,” Bonilla, executive manager at Sewell Infiniti of North Houston, told Automotive News after the meeting.
Marketing the redesigned QX80
Last year, Infiniti rolled out the third-generation QX80 featuring a bold boxy redesign and an ambitious $100,000-plus sticker price.
“We were planning on customers around the $300,000-to-$500,000 household income, but we are getting a significant portion with about $1 million in annual household income,” Pandikuthira said.
According to Bonilla, Meunier described the new QX80 as a “beautiful beast of premiumness and power.”
Executives said they’re aiming to double QX80 sales this year with an attractive lease offer and a special interest rate.
“Figuring out the trims and the mix will be key to driving QX80 sales,” Bonilla said.
Infiniti teased a new marketing strategy for the QX80 developed with input from retailers.
“We’re working on a brand-new [TV] spot for QX80 to continue to hone in on the product features and class-leading technologies,” Keeys said.
Infiniti hopes to lure more affluent shoppers to the large crossover with the addition of a Sport package this summer.
The kit, which includes unique lower fascia, wheels and interior styling, is offered on the QX50. The midsize QX60 also will receive a Sport version after its midcycle freshen this summer.
“They have always been very fast-moving models. They turn very quickly; dealers like them,” Pandikuthira said. “The willingness [of that customer] to pay is very good when you give them something that’s special and unique.”
Bonilla said the QX80 Sport package “will have curb appeal and attract a new segment of the market.”