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Mercedes and Infiniti confirm joint production in Mexico [w/video]

It's official, folks: After initial reports last week indicated that Mercedes-Benz was preparing to begin assembly at the Nissan plant in Aguascalientes, Mexico, the two parent companies have announced just that. Only instead of using the existing Nissan plant at the site (in operation since 1992), Daimler and the Renault-Nissan Alliance have announced a joint venture to build a new one alongside it.
The latest stage in the growing French-German-Japanese collaboration is part of a new collaboration that will see Infiniti and Mercedes jointly develop and build a line of compact premium vehicles, with the first Infiniti models set to roll off the assembly line in 2017 and the first Benzes to follow a year later. Neither party announced exactly which models that would encompass, but Mercedes already has a robust line of small vehicles (including the A-Class, B-Class, CLA and GLA), and Infiniti has long been toying with the idea of slotting in something smaller below the Q50.
The billion-euro project, split evenly between the two industrial giants, is set to create 5,700 new jobs in Mexico. In addition to the Aguascalientes project, Infiniti and Mercedes are also undertaking joint production of four-cylinder engines (initially for the C-Class and Q50) in Decherd, Tennessee, from which they will be exported around the world. By the time the new factory in Mexico reaches full capacity in 2021, it will have the capability to produce 300,000 vehicles annually. That's on top of the 850,000 vehicles the existing facility is capable of handling.

Nissan recalls 3,065 Pathfinders for transmission fluid leak

Nissan is recalling 3,065 units of the 2013 Pathfinder equipped with the CVT, due to a potential transmission fluid leak. On crossovers built from April 18, 2012 to October 3,2012 "inadequate clamping force" on the hose connected to the internal oil cooler can cause the hose to come loose and let fluid escape. A severe loss of fluid can cause the transmission to stop working properly.
The recall is the result of a safety investigation begun last September, when it was thought a recall could involve 110,000 units of the Pathfinder and Infiniti JX35. Asked for comment about how such a large number of vehicles potentially involved could end up with just 3,065 being recalled, Nissan rep Steve Yaeger told Autoblog that Nissan initiated a service campaign for the issue last year - a service campaign notifies owners to take their vehicles to the dealer for repair of "what is generally not a safety issue" - and that there was a "production improvement" that addressed the clamping issue. The service campaign included the vehicles being recalled, but the recall is limited to just those vehicles that were built before the production-line fix.
Nissan will begin informing affected owners next month, at which time owners can take their vehicles to dealers to have the hose clamp repaired. The press release below from the National Highway Traffic Safety Administration has more information.

Datsun reveals new On-Do budget sedan in Russia [w/video]

When Nissan revived the Datsun brand name, it essentially hit the "undo" button on the rebranding it undertook decades ago. But this time, the Datsun name is being used solely as a budget brand for developing markets. The reborn marque launched in India this past July with its Go hatchback, returned in September with the Go+ minivan and revealed the Redi-Go concept just last month. And now it's back again with the new On-Do sedan.
Launched in Moscow by CEO Carlos Ghosn, the On-Do was designed and engineered in Japan specifically for the Russian market - Nissan's fifth largest worldwide - where it will be built at the AvtoVaz plant in Togliatti. Decidedly budget-oriented, the Datsun On-Do is a four-door, five-seat econo-box measuring 172 inches long, 67 inches wide and 60 inches tall with an 18.7 cubic-foot trunk which Datsun describes as class-leading. Punctuating an otherwise bland shape is a large front grille and lighting front and rear that looks (and very well might be) bigger than the wheels.
Not that the Datsun On-Do needs a big contact patch to transfer power to the road: motivation is provided by a 1.6-liter engine with a grand total of - wait for it... wait a little longer - 87 horsepower. Which might strike you as a reasonable amount of muscle, considering the 400,000 rubles Datsun is getting for the On-Do (but consider that translates to about $11,300). That's a couple grand more than what Nissan gets for the Micra in that other giant northern country, or about the same amount it gets for the Versa in the US (which sells in Russia for 499k in rubles) - both of which are powered by what is in all likelihood the same 1.6-liter four but producing 109 hp. Of course Russia has different tax rates than the United States or Canada, but with such little power, the Datsun would fall into Russia's lowest tax bracket.