Introduction

Nissan CEO’s Statement

Nissan CEO Makoto Uchida stated that the Japanese carmaker must quickly introduce new vehicles to compete in the crowded Chinese market.

Nissan’s Strategy and Plans

Uchida revealed that Nissan plans to target its existing customers in China by introducing high-value products that can compete with local brands and are offered at attractive prices. The company previously announced the development of the Arizon, an electric SUV designed specifically for the Chinese market. Nissan also intends to release more models in the future to address declining market share and slowing sales.

Competition and Financial Performance

Nissan has faced tough competition from domestic Chinese automaker BYD in the Chinese market. In its recent financial report, Nissan reported a 45.8% drop in unit sales in China compared to the previous year. However, the company’s net income for the quarter exceeded expectations, rising significantly year-on-year.

Nissan’s Strengths and Future Growth

Uchida emphasized that Nissan’s strength lies in its vertically integrated business model, which covers the entire value chain from parts sourcing to after-sales services. He also highlighted the importance of speed to market and acknowledged Nissan’s strong local presence in China, enabling the company to achieve sustainable growth even in challenging conditions.

Insights from Electric Vehicle Experience

Uchida mentioned Nissan’s advantage of having 13 years of experience in selling electric vehicles, providing valuable insights into consumer behavior. This experience has influenced decisions like the development of a production facility for solid-state battery cells, which Nissan claims to be more cost-effective and faster-charging than traditional lithium-ion batteries.

Renegotiated Partnership with Renault

Nissan has recently finalized new terms in its long-standing partnership with Renault after months of negotiations. As part of the agreement, Nissan will invest $663 million in Ampere, Renault’s EV unit. Uchida explained that this investment is a response to increased competition and stricter regulations in Europe.