Nissan's 2030 Vision: The Arc Plan for EV Transition
The transition from combustible engine vehicles to EVs has been a meticulously planned process, with automakers crafting strategic visions to meet the targets of the Paris Agreement. Without automakers' absolute investment in this transition, the industry would remain stagnant.
Whether it's JLR Manufacturing's Reimagine Strategy or Nissan's 2030 vision with the Arc business plan, automakers worldwide are leading the way. Businesses are adopting innovative strategies to drive the future of transportation.
The Arc Business Plan: Paving the way for a sustainable future
The Arc plan centres is a comprehensive product offensive to increase electrification, innovative engineering and manufacturing approaches, the adoption of new technologies, and strategic partnerships. These efforts aim to boost global unit sales and profitability.
Nissan President and Chief Executive Officer Makoto Uchida stated, "The Arc plan shows our path to the future. It illustrates our continuous progression and ability to navigate changing market conditions.
"The plan will enable us to go further and faster in driving value and competitiveness. Faced with extreme market volatility, Nissan is taking decisive actions guided by the new plan to ensure sustainable growth and profitability."
Phase one: Driving volume growth and preparing for EV transition
In the first phase, Nissan will focus on volume growth through a tailored regional strategy and an accelerated transition to EVs. It will be supported by a balanced portfolio of electrified and internal combustion engine (ICE) products, volume growth in significant markets, and strict financial discipline.
Through these initiatives, Nissan aims to increase annual sales by 1 million units and raise its operating profit margin to over 6% by the end of fiscal year 2026. This foundation will support the second phase of the plan, aimed at enabling the EV transition and achieving long-term profitable growth through smart partnerships, enhanced EV competitiveness, innovative technologies, and new revenue streams.
Enhancing EV competitiveness
New development and manufacturing approaches will support Nissan's product offensive to make EVs more affordable and profitable. By developing EVs in families, integrating powertrains, utilising next-generation modular manufacturing, group sourcing, and battery innovations, Nissan aims to reduce the cost of next-generation EVs by 30% compared to the current Ariya crossover and achieve cost parity between EVs and ICE models by fiscal year 2030.
In family development alone, the cost of subsequent vehicles—those based on the primary vehicle in the family—can be reduced by 50%, with trim part variations reduced by 70% and development lead time shortened by four months. Modular manufacturing will shorten vehicle production lines, reducing production time per vehicle by 20%.
Under the Arc plan, more plants in Japan and overseas will adopt the Nissan Intelligent Factory concept. The Oppama and Nissan Motor Kyushu plants in Japan, the Sunderland Plant in the UK, and the Canton and Smyrna plants in the US will begin this adoption from fiscal year 2026 through 2030.
Embracing new technologies
The Arc plan includes accelerating the evolution of vehicle intelligence technologies, such as the next-generation ProPILOT driver-assistance system, which enables door-to-door autonomous driving technology from highways to private premises and parking.
Nissan will offer enhanced NCM li-ion, LFP, and all-solid-state batteries to provide diversified EVs to meet various customer needs. These enhancements include reducing the quick-charging time by 50%, increasing energy density by 50% compared to the Ariya, and launching cost-effective LFP batteries.
Embracing technology
Nissan's ambitious Arc plan includes accelerating the evolution of vehicle intelligence technologies. A key highlight is the next-generation ProPILOT driver-assistance system, which delivers door-to-door autonomous driving capabilities.
The advanced system seamlessly handles on-highway and off-highway driving, including private premises and parking, enhancing overall driving convenience and safety.
Leveraging strategic partnerships
Nissan will harness strategic partnerships to remain competitive and offer a global portfolio of products and technology. Nissan will leverage the alliance between Renault and Mitsubishi Motors in Europe, LATAM, ASEAN, and India. In China, Nissan will utilise local assets to meet regional and global needs and explore new partnerships in Japan and the US Battery development and sourcing with partners that aim to bring 135 gigawatt-hours of international capacity.
Through the Arc plan, Nissan endeavours to lead the transition to electrification, ensuring sustainable growth, enhanced competitiveness, and long-term profitability.
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