Japan's number three automaker is after higher North Americansales, its largest market, which currently accounts for 30% ofsales compared with 25% in Japan so far this year. Industryobservers suggest the new plant is a sign that Nissan's financialtroubles are behind it.

The company reported a profit for the first half of this year,its second profitable period in nine years. Its U.S. sales haveincreased in 12 of the last 13 months. Last year, the Japaneseautomaker accepted financial help from Renault SA, which took a 37%controlling stake in the company.

The incentive package that won the prize was passed severalweeks ago in a special legislative session led by Mississippi Gov.Ronnie Musgrove. The incentives require Nissan to spend a minimumof $750 million to build the plant. Additionally, the state isauthorized to issue $295 million in bonds for infrastructureimprovement.