Nissan to end sales of two models via Tan Chong Motor in Vietnam

07, Aug. 2020

X-Trail SUV (Photo courtesy of Nissan Motor)
X-Trail SUV (Photo courtesy of Nissan Motor)

KUALA LUMPUR, NNA - Japan’s Nissan Motor Co. will terminate a distribution agreement with TCIE Vietnam Pte. Ltd., an indirect wholly-owned subsidiary of Malaysia’s Tan Chong Motor Holdings Bhd., for Nissan Sunny sedan and X-Trail SUV models in Vietnam.

TCIE Vietnam has been the exclusive distributor and after-sales service provider for Nissan’s Completely Knocked Down (CKD) models. The CKD model cars are assembled at a local factory with imported parts.

Nissan has notified TCIE Vietnam that the agreement, which was signed in September 2012 and will expire on Sept. 19, 2020, will not be renewed, according to a Tan Chong Motor Holdings’ statement released on Wednesday.

Nonetheless, the technical assistance agreement signed between TCIE Vietnam and Nissan Motor on May 30, 2012 for the assembly of Nissan CKD models will remain effective.

“TCIE Vietnam and Nissan Motor are in open dialogue on the continuity and the alternative distribution channels for the Nissan CKD Models in Vietnam,” Tan Chong Motor said in the statement.