Nissan Reveals $17 Billion Electric Vehicle Plan

Nissan Reveals $17 Billion Electric Vehicle Plan

With the all-new Nissan Ariya battery electric SUV set to land in showrooms by spring next year, Nissan is embarking on an ambitious EV strategy. The firm says it will invest ¥2 trillion ($17.6 billion) over the next five years to electrify its lineup and make battery-powered cars the nucleus of its long-term growth.

Japan’s No 2 carmaker said this week that it will introduce 23 new models by 2030, including 15 new battery electric vehicles, with the target of 50% of its lineup electrified by that date. For the record, electrification refers to vehicles with electric motors—which can include hybrids, plug-in hybrids, fuel-cell cars or pure battery electric vehicles.

Armed with this plan, Nissan says its is on track to return to annual profit for the first time since 2019, and will extract technical know-how it gained from being the first carmaker to launch a mass-produced electric vehicle—the Leaf—in 2010. However while the Leaf may have been the electric pioneer and is still a top-selling EV, America’s Tesla has become to go-to firm for EVs since then.

“We have a decade-long jump start on our competitors with electrification,” said CEO Makoto Uchida. “We will utilize this experience and accelerate the shift with future investment,” he reiterated.

As part of the plan to reinforce its EV strategies, Nissan will build a $1.4 billion plant in the U.K. to manufacture battery-powered cars. The firm also plans to increase its global battery production capacity to 130 gigawatt-hours by fiscal 2030, and launch a BEV equipped with a solid-state battery by 2028.

In early 2022, the company’s highly-anticipated four-wheel-drive Ariya SUV and is slated to enter an increasingly saturated EV market. Over the next decade, global EV sales are expected to climb to 10 million a year from around 1 million today.

Seen as a critical part of the firm’s EV strategy, Nissan plans to electrify over 75% of sales in Europe, 55% in Japan, and 40% in China by fiscal 2026. And in the U.S. it wants to electrify 40% of sales by 2030. One other important aspect of the EV equation is infrastructure and Nissan long-term strategy includes ¥20 billion of investment on reinforcing the charging network for EVs.