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NISSAN wants 30 new models on sale by 2026, with 16 being EVs, along with one million more sales a year as it overhauls its model line up,searches for additional revenue streams and looks to cut production costs in half.

‘The Arc’ is Nissan’s latest business plan to increase competitiveness and boost income, with the key being a broad-based product offensive that includes more EVs, new technologies and manufacturing developments while retaining a strong line-up of internal combustion engine vehicles (ICEs).

The global plan favours key markets but in Oceania, Nissan’s region that includes Australia and New Zealand, the car-maker has reinforced that new models are coming and include a one-tonne ute in a joint venture with Nissan’s Alliance partner, Mitsubishi.

Nissan president and CEO Makoto Uchida

Nissan said that strategic partnerships would support competitiveness and its product portfolio. 

It said that during the The Arc period, Nissan in Oceania will launch four new models, including the new one-tonne ute in partnership with Mitsubishi Motors.

“Additional new electric vehicles will be introduced in Oceania, as the transition to electrification gathers pace,” it said.

This is likely to include some of the five new EVs also planned for Europe, including new generations of the Leaf, Juke and “a 100 per cent electric replacement for the Nissan Micra.” 

In commercial vehicles, “Nissan will also harness its Alliance partnership with Ampere to launch an all-electric Interstar LCV as well as a new LCV based on FlexEVan.” 

“To aid the transition to a fully electric future, Nissan is developing the third-generation of its e-POWER technology, the brand’s unique electrified powertrain that serves as a gateway to the full EV driving experience.”

Nissan president and CEO Makoto Uchida said in a video launch of ‘The Arc’ this week that the plan – one of three plans underway or proposed over the next six years – was a “decisive action” guided to ensure sustainable growth and profitability.

He told a global audience in the video launch that the new plan is the car-maker’s path to the future and will “enable us to go further and faster in driving value and competitiveness” in a period of “extreme market volatility.”

Nissan sold 3.55 million cars in fiscal 2023 (April 1 2022 to March 31 2023), up 22 per cent on the previous year. It wants an extra one million sales on top of that by fiscal 2026 – the time when it expects to launch 30 new models and refresh 60 per cent of its ICE range.

Cost cutting through new technology and manufacturing techniques is one way of improving returns in its EV products.

“Significant next-generation EV cost reduction to be achieved through grouped ‘family’ development, with vehicle production under the approach starting in fiscal year 2027,” Mr Uchida said in his address on ‘The Arc’.

Nissan said EV competitiveness would be enhanced by reducing the cost of next-generation EVs by 30 per cent and “achieving EV and ICE vehicle cost parity by fiscal year 2030.

It will also push more strategic partnerships into technology, product portfolio and software services and embark on new business ventures “to unlock a potential 2.5 trillion yen ($A34.4b) in additional revenues by fiscal year 2030.

The Arc specifies: 30 new models over the next three years, of which 16 will be electrified, and 14 will be ICE models “to meet the diversified customer needs in markets where the pace of electrification differs.”

Nissan plans to launch a total of 34 electrified models from fiscal year 2024 and 2030 to cover all segments, with the model mix of electrified vehicles expected to account for 40 per cent globally by fiscal year 2026 and rise to 60 per cent by the end of the decade.”

Its plan to have market growth through a tailored regional strategy includes Oceania – which includes Australia – having a launch of ute and new EV crossover.

By comparison, Japan will get five new models; the US and Canada will get seven; China gets eight; Africa gets three; the Middle East, five; and six for Europe.

Nissan said its EV production would have new development and manufacturing approaches aimed to make EVs more affordable while increasing profitability. 

“In the area of family development alone, the cost of subsequent vehicles – those developed based on the main vehicle in the family – can be reduced by 50 per cent, the variation of trim parts reduced by 70 per cent and development lead time shortened by four months.” Nissan Motor Co

“In the area of family development alone, the cost of subsequent vehicles – those developed based on the main vehicle in the family – can be reduced by 50 per cent, the variation of trim parts reduced by 70 per cent and development lead time shortened by four months. 

Nissan aims to reduce the cost of next-generation EVs by 30 per cent (when compared to the current model Ariya crossover) and achieve cost-parity between EVs and ICE models by fiscal year 2030,” 

It said this would be achieved by:

  • Developing EVs in families
  • Integrating powertrains
  • Using next-generation modular manufacturing
  • Group sourcing
  • Battery innovations

“In the area of family development alone, the cost of subsequent vehicles – those developed based on the main vehicle in the family – can be reduced by 50 per cent, the variation of trim parts reduced by 70 per cent and development lead time shortened by four months. 

“By adopting modular manufacturing, the vehicle production line will be shortened, reducing the production time per vehicle by 20 per cent.”

It said that under ‘The Arc’ plan, more plants in Japan and overseas will adopt the Nissan Intelligent Factory concept, with the Oppama and Nissan Motor Kyushu plants in Japan, the Sunderland Plant in the UK and Canton and Smyrna plants in the US starting the adoption from fiscal year 2026 through 2030. 

Meanwhile the EV36Zero (Nissan’s electric-vehicle hub which is based in the UK) production approach will be extended from Sunderland in the UK to plants including Canton, Decherd and Smyrna in the US, and Tochigi and Kyushu in Japan from fiscal year 2025 through 2028.

“The plan includes proposals to accelerate the evolution of vehicle intelligence technologies such as next-generation ProPILOT driver-assistance system, which realise door-to-door autonomous driving technology from on-highway to off-highway, private premises, and parking,” Nissan said.

“Nissan will offer enhanced NCM li-ion, LFP and all solid-state batteries to provide diversified EVs to meet different customer needs. 

“Nissan will significantly enhance NCM li-ion batteries, reducing quick-charging time by 50 per cent and increasing energy density by 50 per cent compared to the Ariya. 

“LFP batteries, to be developed and produced in Japan, will be launched that will reduce cost by 30 per cent compared to the Sakura EV mini vehicle. 

“New EVs with enhanced NCM li-ion, LFP and all-solid-state batteries will be launched in fiscal year 2028.”

Mr Uchida said that under ‘The Arc’ plan “we will enhance Nissan’s competitiveness and achieve sustainable profitability.”

“Nissan is confident that it has what it takes to properly execute this plan, which will provide us with the firm foundation we need to bridge to our Nissan Ambition 2030 vision.” the company said

By Neil Dowling

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