CARMEL, Calif. — Among the sea of European and other foreign-made cars (some costing millions of dollars), Nissan’s (NSANY) Infiniti brand decided Monterey Car Week was the time to unveil its latest creation, the QX65 midsize crossover SUV.
It’s part of a product renaissance at the Japanese automaker, which has been plagued in recent times by older models that haven’t riled up premium and luxury buyers, who have no dearth of options.
Infiniti’s US head, Tiago Castro, said the QX65’s upcoming launch is buoyed by the relative sales success of two of its newest products, the QX80 and QX60 SUVs.
“So we’re in the middle of a product renaissance that really started with the QX80 last year,” Castro said from this year’s Quail event. “This vehicle has been building momentum. We actually had this year the best seven months ever in sales for the QX80, so really good moment [for the brand].”
Castro said the QX60, which was updated last year, is seeing sales climb year over year. The company is hoping the same for the new QX65. “The goal now, as we accelerate the future, is to launch one vehicle per year for the foreseeable future.”
While that’s good news, both Infiniti and Nissan have faced a rough patch recently, and both are only now trying to emerge from slow sales and heavy debt — at least for parent Nissan. But Castro believes Infiniti at least has a game plan.
“Nobody can say that we didn’t have a tough year last year,” he said. “Very clear. But here’s the important part. We have a very clear understanding of what needs to happen. There’s full alignment in the global team and the regional leadership team that in order for Nissan to be stronger, Infiniti needs to be strong. So we’re going to invest in the right product and the right moment.”
Castro said the first step was to understand the product portfolio and how to optimize delivery because there have been other headaches for Infiniti: tariffs.
While Japan has a preliminary deal in place for 15% tariffs, cars imported from Canada and Mexico still have a 25% auto sector tariff tacked on.
“So, for example, QX50, we had to pause the production into the US, but in Canada, there’s a lot of opportunities, so we shipped more vehicles there. We also increased production of QX60 that is built here in the US,” Castro said.
QX65 will also be built in the US, which Castro said was “very important” to increase its US footprint. Signing a tariff deal with Japan is immensely helpful, as the QX80 SUV that’s in demand is built in Japan. “The customers are reacting very well, and we need to deliver the vehicle” and not stop, he said.
Read more: What Trump’s tariffs mean for the economy and your wallet
One of the main selling points for Infiniti, though it’s a premium luxury brand, is that it undercuts the pricing of German brands and rivals like Toyota’s (TM) Lexus and Honda’s (HMC) Acura. While debuting at the Quail event raised eyebrows amongst a Monterey crowd that’s known more for glitz rather than frugality, Castro believes Infiniti can compete on product too.
“It’s important for us to demonstrate what we can do to this luxury consumer. A lot of customers here, they love what they’re seeing,” Castro said, singling out a “terrain spec” QX80 concept.
Castro added, “But as far as the consumers are concerned, we see the market still moving in the right direction. Leading indicators — everything from website traffic to visits to dealers — are increasing. So positive year ahead of us.”
Pras Subramanian is the lead auto reporter for Yahoo Finance. You can follow him on X and on Instagram.
Click here for the latest stock market news and in-depth analysis, including events that move stocks
Read the latest financial and business news from Yahoo Finance
