Nissan stands to lose its exclusive deal with New York City to supply the only taxicab in the city due to an issue with the powertrain and a Supreme Court ruling.
What’s the issue? Well, New York City’s taxi commission signed a contract stipulating that the Nissan NV200s to be used would be hybrid vehicles, however, the vehicles due to launch and be used by the city in October are not. Even though Nissan promises the hybrid NV200 will be produced in 2015, the Supreme Court ruled the arrangement “null, void and unenforceable.”
Nissan’s Taxi of Tomorrow contract was set to result in anywhere from 13,000 to 25,000 NV200 sales over the next 10 years. While that’s not a ridiculous amount, Nissan was counting on the $1 billion deal to spread awareness for its NV200 model, especially in hybrid trim.
While the contract is not completely broken, Nissan and the New York City taxi commission will have to come to a solution and taxi drivers will have to find a hybrid alternative to use in the interim until the NV200 hybrid is available.
Source: Automotive News
What’s the issue? Well, New York City’s taxi commission signed a contract stipulating that the Nissan NV200s to be used would be hybrid vehicles, however, the vehicles due to launch and be used by the city in October are not. Even though Nissan promises the hybrid NV200 will be produced in 2015, the Supreme Court ruled the arrangement “null, void and unenforceable.”
Nissan’s Taxi of Tomorrow contract was set to result in anywhere from 13,000 to 25,000 NV200 sales over the next 10 years. While that’s not a ridiculous amount, Nissan was counting on the $1 billion deal to spread awareness for its NV200 model, especially in hybrid trim.
While the contract is not completely broken, Nissan and the New York City taxi commission will have to come to a solution and taxi drivers will have to find a hybrid alternative to use in the interim until the NV200 hybrid is available.
Source: Automotive News
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| Photo: Nissan |