Nissan Motor Co. said Monday it will reduce development costs for electric vehicles by 30 percent by fiscal 2030 in a bid to make EVs more affordable and improve price competitiveness in China and other markets.
Under a new business plan, the Japanese automaker also aims to roll out 30 new models, including 16 with electrified technologies, and increase annual sales by 1 million units by fiscal 2026 compared to fiscal 2023, ending this month. Nissan is targeting an operating profit margin of more than 6 percent.
As the global EV market has been expanding against the backdrop of decarbonization efforts, Japanese carmakers face powerful overseas rivals such as Tesla Inc. of the United States and China's BYD Co.
Nissan will seek to improve its cost competitiveness by streamlining production and expanding the number of partners it collaborates with.
Nissan announced this month it has agreed to start a feasibility study for a strategic partnership with Honda Motor Co. in EV production and software technologies.
"We will aim to build a powerful product line-up," Nissan CEO Makoto Uchida said at a press event in Atsugi, Kanagawa Prefecture.
Asked if Nissan will review its production capacity in China, where the company faces an uphill battle, Shohei Yamazaki, senior vice president, told reporters, "We are discussing all possible measures."
