The History of Nissan

The Diamond in the Desert

In the sprawling, competitive landscape of the American automotive industry, few brands have a history as turbulent, innovative, and ultimately triumphant as Nissan. From its origins as a renegade Japanese upstart to its current status as a global powerhouse, Nissan’s story is one of engineering ingenuity, daring marketing, and an uncanny ability to weather economic storms. It is a tale of a company that didn’t just want to sell cars in America; it wanted to change the very way Americans thought about imported vehicles.

From Shipbuilding to Spark Plugs: The Genesis of an Empire (1933-1945)

Nissan’s roots are not in automobiles, but in heavy industry. The company was founded in 1933 as Nissan Motor Co., Ltd. by two visionary men: Yoshisuke Aikawa and William R. Gorham. Aikawa was a powerful industrialist who had taken over the Nihon Sangyo Company (which, by 1930, was listed on the Tokyo Stock Exchange under the ticker abbreviation “NI-SAN”). Gorham, an American engineer, was the key technical force. He had a vision to build a small, affordable car for the Japanese market.

Their first vehicle, a collaborative effort, was the Datsun Type 15, a small pickup truck built in 1934. It was followed closely by the Datsun AA, the company’s first passenger car. Production was slow and methodical, and like many Japanese companies of the era, Nissan’s facilities were heavily geared towards supporting the Japanese military during World War II, producing vehicles and aircraft engines.

The Post-War Rebirth and a Fateful Partnership (1945-1965)

After the devastation of the war, the Allied occupation of Japan placed severe restrictions on car production. Nissan struggled, even producing pots and pans to stay afloat. However, the lifting of these restrictions in the early 1950s allowed the company to resume vehicle manufacturing. They initially partnered with England’s Austin Motor Company to produce the Austin A40 and A50 under license, a crucial move that helped them rebuild their manufacturing capabilities.

The true turning point came in 1958 with the launch of the Datsun Fairlady (known globally as the Datsun Sports Roadster). This was a two-seat convertible that offered British sports car styling and handling with Japanese reliability, and it was priced affordably. It was an instant hit, particularly in the American market, which was thirsty for an alternative to the Austin-Healey and MG.

This success was amplified by another iconic vehicle: the Datsun 510. Introduced in 1968 for the North American market, the 510 was a compact sedan that defied expectations. With its sophisticated independent rear suspension (a rarity in its class), peppy engine, and nimble handling, it earned the nickname “the poor man’s BMW” and became a legend among driving enthusiasts. The 510 cemented Datsun’s (Nissan’s export brand) reputation for building cars that were not just economical, but genuinely fun to drive.

The Birth of a Legend: The Z-Car and the Truck That Wouldn’t Quit (1969-1990)

In 1969, Nissan unleashed its masterpiece: the Datsun 240Z. This was a large-displacement, six-cylinder, 2-seat sports car with gorgeous long-hood, short-deck styling, and a price tag that undercut competitors like the Porsche 911 and Jaguar E-Type by thousands of dollars. The 240Z was a phenomenon. It offered stunning performance and looks without the temperamental nature and high maintenance costs of its European rivals. It single-handedly created the “affordable performance” segment and became the best-selling sports car in America.

While the Z-car defined Nissan’s performance image, the Datsun pickup truck built its financial foundation. The Datsun 620, and later the 720, were rugged, reliable, and economical. They became the go-to workhorses for small business owners and tradesmen, chipping away at the market dominance of Ford and Chevrolet.

In 1984, Nissan made a crucial marketing decision: it began phasing out the Datsun name in North America and rebranded all its vehicles under the global Nissan banner to build a single, strong corporate identity.

The “Rough Times”: Hardships, the Renault Alliance, and the Ghosn Revolution (1990-2010)

The 1990s were a difficult period for Nissan in America. A strong U.S. dollar and a sluggish Japanese economy led to price hikes. The company’s product line grew stale, relying heavily on the Nissan Sentra and Nissan Altima, which faced fierce new competition from Honda and Toyota, as well as a resurgent American auto industry. The legendary Z-car disappeared after 1996. By the late 1990s, Nissan was drowning in debt—over $22 billion—and on the verge of collapse.

In 1999, in a move that shocked the industry, Nissan entered a strategic alliance with the French automaker Renault. This was a merger in all but name, with Renault acquiring a 36.8% stake in Nissan. To lead the turnaround, Renault sent a charismatic and tough-as-nails executive named Carlos Ghosn to become Nissan’s Chief Operating Officer.

Gosn was an outsider, the first non-Japanese executive to run a major Japanese auto company. He was ruthless in his efficiency. He implemented the “Nissan Revival Plan,” which involved closing five plants, cutting 21,000 jobs, and slashing the company’s massive debt. He also incentivized engineers to collaborate, leading to a platform-sharing strategy that saved billions. The gamble paid off. Ghosn became a celebrity executive, and Nissan’s profitability roared back.

This era also saw Nissan regain its performance footing with the introduction of the world’s first mass-produced “crossover,” the 2003 Nissan Murano. It combined the raised ride height and practicality of an SUV with the handling and style of a luxury car, creating an entirely new market segment. In 2002, the Z-car was reborn as the Nissan 350Z, bringing the legendary nameplate back to the joy of enthusiasts everywhere.

Racing Pedigree: From Rally to Formula 1

Nissan has a rich and varied motorsports history. In the 1970s and 80s, the Datsun 510 and 240Z were dominant forces in the SCCA Trans-Am and IMSA GT racing series in North America, earning a reputation for durability and speed.

Their most brutal and legendary campaign was in the World Rally Championship (WRC) during the late 1980s and early 1990s with the all-wheel-drive, 700-horsepower Group B Nissan 240RS. While Group B was notoriously dangerous and short-lived, Nissan’s effort proved the brand’s toughness on the world’s most unforgiving stages.

More recently, Nissan made a bold move by competing in the FIA World Endurance Championship (WEC) with its audacious, front-engined GT-R LM Nismo prototype—a technical departure from the rear-engined norms of the class. In the United States, Nissan’s involvement in IndyCar has been significant, and its GT-R and Q60 models are fixtures in the IMSA sports car series and Formula Drift, showcasing the performance potential of its consumer vehicles.

Factory Operations: The American Heartland

Unlike many foreign brands that simply assemble knockdown kits in the U.S., Nissan established deep manufacturing roots in America. Its first major plant opened in 1983 in Smyrna, Tennessee—a symbolic move into the heart of American car country. The state-of-the-art facility was a marvel of efficiency and became a model for other automakers.

Today, Nissan’s U.S. manufacturing footprint includes the Smyrna plant, the nearby Decherd powertrain plant, and a massive vehicle assembly plant in Canton, Mississippi. Collectively, these facilities employ tens of thousands of American workers and produce millions of vehicles, from the best-selling Altima to the rugged Nissan Frontier pickup. This commitment to “building in America, for Americans” has been a cornerstone of its long-term strategy and a key reason for its acceptance by U.S. consumers.

American Reception and Marketing Genius

Nissan’s success in the U.S. can be attributed to a product strategy that hit the right notes at the right time, backed by some of the most memorable marketing campaigns in history. The “Datsun, We Are Driven” campaign of the 1970s established the brand’s identity. But the undisputed champion of automotive advertising was the “The Test Drive” campaign for the 1990 Nissan 300ZX. The commercial featured a driver, played by actor James Brolin, taking the car on a winding mountain road while a hypnotic track by Roy Orbison, “She’s a Mystery to Me,” played in the background. It was cool, sexy, and sophisticated, elevating the Z-car from a mere vehicle to a cultural icon.

In the 21st century, Nissan has faced stiffer competition than ever. American consumers initially viewed Japanese cars as reliable and efficient, but not necessarily stylish or exciting. Nissan worked hard to shed this image with bold, sculpted designs under the leadership of designers like Shiro Nakamura. The massive, truck-like Nissan Pathfinder of the 2000s gave way to a new generation of stylish, family-friendly crossovers.

Key Milestones and Notable Accomplishments

1933: Founding of Nissan Motor Co., Ltd. and the creation of the first Datsun vehicle.
1966: Introduction of the Datsun 510, a performance benchmark for affordable sedans.
1969: Launch of the Datsun 240Z, which created the affordable sports car segment in the U.S.
1984: The official transition from the Datsun to the Nissan brand name in North America.
1999: Strategic alliance with Renault, averting bankruptcy.
2001: The debut of the Murano, which pioneered the modern crossover category.
2003: The triumphant return of the Z-car with the 350Z.
2016: Introduction of the Nissan GT-R NISMO, a supercar capable of challenging the world’s best.

What Sets Nissan Apart?

Nissan’s unique position in the automotive world comes from a blend of audacious engineering and a “punching above its weight” spirit. While Toyota and Honda built their empires on conservative reliability, Nissan consistently offered a more emotional and sporty alternative. The GT-R, nicknamed “Godzilla,” is a prime example—a technological marvel that, for a generation, was the undisputed king of the sportscar hill, offering performance that embarrassed cars costing three times as much. The company has also been a leader in practical innovation, such as its “magic chair” fold-flat seating system in the Nissan Quest minivan and the Around View Monitor camera system, which has become a standard feature across many brands. Even its recent struggles with its previous-generation CVT (Continuously Variable Transmission) transmissions highlight a company willing to take technical risks that others avoid.

The “Latest Model” and Sales Figures

Nissan’s first production vehicle was the Datsun Type 15 pickup truck (1934).

The company’s latest major model launch in the U.S. market is the completely redesigned, all-electric 2023 Nissan Ariya. It represents the company’s aggressive push into electrification and the next step in its “Nissan Ambition 2030” long-term vision.

The Single Most Popular Vehicle: The Nissan Altima

While the Rogue is currently a sales juggernaut, the Nissan Altima has been the company’s bedrock in the U.S. for decades. Its success stems from offering the core tenets of the midsize sedan segment—reliability, fuel efficiency, a comfortable ride, and a roomy interior—at a competitive price, often with more standard features than its rivals.

Lifetime U.S. Sales: Over 6 million units.
Peak U.S. Year (2014): 335,613 units.
Recent U.S. Year (2023): 129,203 units.
Global Sales (Annual Estimate): ~400,000-500,000 units.

Current Status and Outlook

Nissan is very much still in business, but it is at a critical crossroads. The company has faced significant headwinds in recent years, including the high-profile arrest and flight of Carlos Ghosn, which destabilized the Renault-Nissan alliance, and lingering quality concerns with some of its older CVT transmissions.

However, the company is aggressively pursuing a new course. Under its “Nissan Ambition 2030” plan, the company is making a massive $18 billion investment in electrification and vehicle autonomy. The goal is to launch 15 new electric vehicles and ensure that 50% of its global sales are electrified by the end of the decade.

The story of Nissan is not one of smooth sailing. It is a story of resilience. It is the story of a company that faced bankruptcy and clawed its way back to the top, that introduced both the unflappable pickup truck and the sublime supercar. For American consumers, Nissan remains the brand of the “original” Z, the daring 510, and the practical Altima—a brand that has always offered a compelling mix of head and heart, and which now faces its greatest challenge: steering its legacy into an all-electric future.