Nissan Motors is looking forward investing $9.52 billion in China so as to introduce electric vehicles by 2020. Japanese car maker has gone into a joint venture contract with the Chinese so as to introduce their 20 new electric models in the world’s largest market. There will be the growth of the sales by 70% from 2017 levels to 2.6 million vehicles this year. This announcement is following the similar announcement made by Toyota Motor and Honda Motor in China.
If all goes well then, Infiniti, Nissan’s high-end brand, will go all electric in China by 2025. The major aim is to introduce over 40 new models including the Nissan’s e-power powertrain which will use gasoline to generate electricity. By 2019 a total of six models will be launched under the brand name Nissan.
The company also provided some specifications regarding the investment plans which would be going in various areas like manufacturing units and human resources. The expansion plan calls for 20 new vehicle models, with 30% of its total sales to be made up of electric vehicles and new energy vehicles. Last year the car-maker sold around 1.5mn vehicles in China and it has plans to sell almost 2.6mn vehicles by 2022 when revenue is expected to hit $47.6bn.
Soon a quota system will be applied in China, most probably by 2019, requiring makers to produce a minimum number of electric cars. They are also looking for removing fossil fueled cars from the roads, but when it’ll be done is not yet planned. Through the upcoming regulations in China, the government, with the help of foreign automakers, will drive in the electric vehicles in China.
The joint venture aims for 30$ of the sales to be electric cars by 2022. The announcement also included plans related to launch of Level 1 and Level 2 autonomous cars by 2019. The joint venture sold 1.52 million vehicles in 2017, up 12% from the year earlier, overtaking South Korea’s Hyundai Motors to become the No. 3 player in the Chinese market. Germany’s Volkswagen, the top seller in China, and second-ranked General Motors of the U.S. sold more than 4 million cars each.
The Venucia will feature so-called “connected car” capability, which provides audio and video content, map data and other services through a mobile internet connection. The feature is believed to be popular among Chinese car owners and will be expanded to other brands later.