A few days ago, we shared some exciting news: the confirmation of the long-running rumors and reports that the popular Nissan Xterra is making a return to the carmaker's lineup for the 2029 model year. And the good news keeps on coming, as CarBuzz now reports that the next-generation Xterra is expected to carry a budget-friendly sub-$40,000 price tag.
News of this target price comes directly from Nissan Americas CEO Christian Meunier, who mentioned the under-$40K starting price to a group of journalists in Japan. “We're at a time when the average transaction price in the U.S. is $48,000 and it's not sustainable… [The brand is] going to bring an Xterra below $40,000,” said Meunier.
Of course, a starting price of under $40,000 doesn’t mean that you will necessarily be able to drive a new Xterra off the lot for that amount. Options and trim levels could push the price up by several thousand dollars; Meunier was also likely referring to the price before the destination charge, which we at Road & Track include when discussing a vehicle's cost.
However, a lower starting price is always welcome. It could also allow it to undercut some key competitors. The Toyota 4Runner starts at $43,365 and the Ford Bronco starts at $43,185—and those are for 2026 model year SUVs. It's highly likely that by the 2029 model year, the Toyota and Ford will be priced even higher.
Helping keep the price in check is Nissan’s plan to build the new Xterra here in the U.S., a move that should make it more attainable than some of today’s adventure-ready SUVs assembled abroad and thus hit by tariffs. It’s expected to arrive in late 2028 as a 2029 model, marking nearly a 15-year gap since the Xterra last sat on showroom floors. That’s a long time for a nameplate with this kind of following.
The good news? It sounds like Nissan understands exactly what made the original special. We were already excited to see the Xterra make a comeback, but if it lands with the right mix of capability, character, and value, it could end up being one of the most compelling SUVs in its class.
