Nissan Motor has announced an aggressive strategy to introduce 30 new models by 2027, with a focus on launching 16 new EV models as part of its push to increase global sales by 1 million vehicles. This strategy includes a significant shift towards electrification, with a target of achieving a 6% operating profit margin by March 2027 and ensuring shareholder returns surpass 30%.
Nissan is targeting an additional 1 million unit sales in the next three years and a 30% reduction in electric vehicle production costs by 2030. https://t.co/6ILTIpTkVJ
— CNBC International (@CNBCi) March 25, 2024
New EV Models to be Expected
Once a leader in the electric vehicle market with its Leaf model, Nissan is stepping up its efforts to catch up with leaders such as Tesla and BYD. The automaker projects that EVs will account for about 20% of its global sales, with hybrids adding another 20%, and the remaining 60% coming from internal combustion engine vehicles.
With an eye on future trends, Nissan aims for electrified vehicles, including hybrids, to represent 60% of its sales by 2030, an upward revision from its previous 55% target. Facing competitive pressures, Nissan is exploring a strategic partnership with Honda Motor to share EV components.
A Diverse Range of New EV Models
Among the 30 new models, Nissan plans to introduce 16 electrified versions, incorporating eight all-battery EVs and four plug-in hybrids. A key goal is to slash the cost of future EVs by 30% to align with the prices of conventional vehicles by 2030.
In North America, seven new models will be launched, refreshing 78% of Nissan’s passenger vehicle lineup with e-power and plug-in hybrid models. For China, eight new-energy vehicles are on the horizon, including four under the Nissan brand, while Europe can anticipate six new models.
Innovative EV Solutions and Partnerships
Highlighting its innovation, Nissan anticipates releasing an electric 3-row SUV by March 2029, featuring enhanced charging times and energy density. The company is actively seeking new partnerships in the U.S. and Japan and continues to collaborate with Renault and Mitsubishi Motors across various regions.
Furthermore, Nissan is in discussions to invest in EV manufacturer Fisker, aiming to utilize its truck platform. These initiatives are integral to Nissan’s strategy to boost sales, improve profit margins, and transition towards electric vehicles for sustained growth.
If that were not bad enough, history is not on its side.
The Leaf was a compliance car that led to the Ariya, which ended 2023 with 13,464 deliveries. That history is not going to inspire any confidence in this new strategy.
It’s aiming for EV and combustion engine costs to reach parity by 2030.
“This plan will enable us to go further and faster in driving value and competitiveness,” Nissan President and CEO Makoto Uchida said in a statement.
2030? Meanwhile the competition from China is coming. BYD launched its Seagull, a small hatchback EV with a price tag under $10,000, at the Shanghai Auto Show last year. Looks like 2030 will be too late.
Image Source: InsideEVs