The Versa, long known for its affordability in North America, was discontinued in the U.S. in December 2025, leaving many wondering about the future of budget-friendly vehicles. Although the new model will not make its way to U.S. showrooms, it will continue to serve as an entry-level option in regions such as Mexico and Brazil.
The decision to stop offering the Versa in the U.S. and focus on the Sentra as the entry sedan is part of a broader shift in Nissan’s North American lineup, which will also see the Altima remain until 2027. However, in markets like Latin America, where affordability is still a key factor, the new Versa will take the spotlight.
Production Shifts to Latin America
The 2027 Versa is already being produced at Nissan’s Aguascalientes A1 plant in Mexico, with plans to release the model in select Latin American countries. This shift comes as Nissan repositions its offerings in the U.S. to prioritize higher-end models, like the Sentra, while retaining more affordable options for other global markets.
According to Motor1, the new Versa’s design has undergone some changes, notably at the front with a more complex, multi-layer look and split headlights. However, much of the profile remains unchanged, with familiar door shapes and greenhouse design carried over from the previous generation.
While the full details of the 2027 Versa’s interior remain under wraps, it is expected to share some components with the new Kait subcompact crossover, which is also designed for Latin American markets. As for the engine, Nissan has yet to confirm specifics for the Versa, but it is likely to follow the Kait’s lead, which is powered by a 1.6-liter gasoline engine paired with a continuously variable transmission (CVT). The four-cylinder engine produces 113 horsepower and is expected to be the main powertrain option for the Versa as well.
Affordable Sedans Becoming Scarcer in the U.S.
The absence of the Versa from the U.S. market marks another step in the shrinking availability of affordable sedans. The 2027 model’s exclusion follows the trend of rising new car prices in the U.S., where the average transaction price reached a record $50,326 by December 2025, according to Kelley Blue Book. As affordable vehicles become increasingly scarce, the Versa’s departure leaves a gap in the market for budget-conscious buyers, who are now left with fewer options under $20,000.
While the Sentra remains Nissan’s most affordable sedan in North America, its starting price of $23,645 reflects the growing cost of new cars in the U.S. This shift may also be seen as a reflection of consumer demand in the U.S. for more feature-packed, higher-priced vehicles, which has led manufacturers like Nissan to adjust their offerings accordingly. In contrast, Latin American markets still place a high value on affordability, and Nissan is adapting its strategy to meet those needs with the new Versa.
