Nissan seeks to dominate electric cars with an investment plan worth 18 billion dollars

Nissan has announced a 2 trillion yen ($17.7 billion) electrification plan in a bid to democratize battery cars and assert its dominance over existing global automakers and new entrants like Tesla.

By introducing a long-term strategy dubbed Nissan Ambition 2030, the Japanese automaker has stopped predicting the end of its production of internal combustion engine vehicles — an announcement that some analysts have speculated may be imminent.

But the company has set itself a goal of electric vehicle sales of 75 percent of its European sales by fiscal year 2026 and 40 percent of its sales in the United States by 2030.

Nissan’s plan includes a proposed introduction of 23 “electrified” car models by 2030, 15 of which will be all-electric. The rest will be a hybrid or fall under the Nissan “e-power” category for cars that are powered by a battery but are recharged via a petrol engine.

Elements of the previously announced strategy included a $1.4 billion to invest in the UK This will help turn Nissan’s Sunderland operations into a production hub for electric vehicles.

Nissan CEO Makoto Uchida said the plan arose from the end of the company’s woes in recent years, a renewed sense of earnings stability and fundamental changes in the auto market.

“Nissan has emerged from the crisis and is ready for a fresh start,” Uchida said.

Nissan shares fell 4.5 percent on Monday, making it the worst performer of the day among Japan’s three largest automakers. The company is also recovering from a scandal They include former President Carlos Ghosn, which Uchida did not mention.

The automaker’s ambitions also include a bet on the success of all-solid-state battery technology. ASSBs provide greater range and energy density – a measure of the amount of energy that can be discharged from a battery. Automakers and investors agree with their lower costs, higher performance, and greater safety, but ASSBs cannot be reliably presented in a mass market format.

In addition to building a pilot plant for ASSB devices within the next three years, Nissan plans to introduce the technology into a mass-market electric vehicle by the fiscal year ending March 2029.

Other automakers, including strong domestic rival Nissan, Toyota, are also involved The highly contested race For a fully solid battery, a potentially transformative technology.

Meanwhile, Uchida said, Nissan will continue to reduce costs for existing lithium-ion batteries, which he expects will drop 65 percent over the next eight years.

Nissan’s ambitions for electric vehicles have consistently outpaced those of its Japanese competitors, who have continued to target other technologies such as hydrogen and fuel cells.

Under Ghosn’s leadership, Nissan entered the electric vehicle market a decade ago with the introduction of the first generation Leaf. Since then, American and European competitors, including Volkswagen, Ford and General Motors, have developed electric vehicles. Rapidly growing global demand.

But not all of these ambitions have translated into clear climate commitments. At the UN COP26 summit in Glasgow this month, only 11 car makers Sign an announcement Commit to end vehicles powered by fossil fuels by 2040. Nissan, Toyota, Honda and BMW have not signed.

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