We owned a 2000 Xterra - brother to the Frontier. Ours had a 3.3l V6 with 170 HP and 210 Ft/lbs torque, 4WD with auto tranny. It had a towing capacity of 5,000 pounds. We towed a Rockwood Roo 233 Hybrid TT that had a sticker weight of 4,600 lbs. Never had it weighed, but those weights are usually lighter than actual.
The Xterra towed great. It wouldn't win any races and although I could get to 70 mph, I usually towed at 60 mph (to get 10 mpg). I installed a B&M Tranny Cooler that I installed inline with the factory cooler. Going up any hill, I'd have to stick with the tractor trailers. I couldn't imagine any real mountains, but staying mostly along the east coast (up and down I-95) with a couple trips into the Mountains of Central PA I had no trouble. We did tow it out to Houston, TX on I-10 with no issues either.
I think with the 4 cylinder, you will probably find the Frontier will struggle to tow the weight. Go rent a 6x12 U-haul trailer and throw 1,500 lbs of gear into it. That'll be about equivalent to the trailer you are considering. With our Xterra, we couldn't run the A/C and tow at the same time, the engine would run hot.
-Michael
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