Success Nwankwo
The Japanese automaker Nissan has revealed ambitions to reduce production costs for next-generation electric vehicles by thirty percent, In an effort to compete with its rapidly expanding Chinese rivals.
As part of its announcement of a new mid-term strategy on Monday, Nissan stated that it hopes to produce electric models at a price point equivalent to that of conventional combustion engine automobiles by 2030.
In three years, the company hopes to increase global car sales by one million units yearly.
According to CEO Makoto Uchida, who also pledged to increase the company’s profitability internationally, Nissan has encountered some challenges in the Chinese market.
“to be really honest, we have had trouble with volume of sales there. Things have gotten better during the past five months. However, our capacity is still too great,” he stated at a press conference.
“By working with joint venture partners (in China), we will continue to optimise our production levels and work with products that allow us to grow in the market.
Nissan has said that “through grouped ‘family’ development, with vehicle production under the approach starting in fiscal year 2027”, the mitigation of the production cost of cutting-edge electric models will be realised.
Nissan also disclosed that there will be a reduction in the the cost of next-generation EVs by 30 percent by “integrating powertrains, utilising next-generation modular manufacturing, group sourcing, and battery innovations”.
Uchida said, “if you look at our product portfolio, in the future the number of ICE (internal combustion engine) vehicles will decline, but they are very important for our business,” attesting to the Nissan agenda to launch 30 new models over the next three years, 16 of which would be “electrified”.
