Daniel Leussink
ATSUGI, Japan (Reuters) – Nissan Motor said on Monday it will launch 30 new models by the fiscal year ending March 2027 and aims to increase its global sales by 1 million vehicles while cutting costs to improve profitability. Announcing an update to its medium-term business plan, Japan’s third-largest automaker by sales said it would target operating profit margins of more than 6% and total shareholder returns of more than 30% by then. Nissan (OTC:) was a pioneer in electric vehicles with its battery-only Leaf, but its EV efforts have been overshadowed by rivals such as US rival Tesla (NASDAQ:) and Chinese leader BYD (SZ:), among others on a global scale. China’s largest car market. The Japanese automaker now aims for electrified vehicles, including hybrids, to make up 60% of global sales by the end of the decade, up from a target of 55% set in February 2023.
Facing fierce competition, Nissan and domestic rival Honda (NYSE:) Motor said this month it would explore strategic partnerships to collaborate on key electric vehicle components and other areas.
Of Nissan’s 30 new models over the next three years, 16 will be electrified, he said. Nissan plans to reduce the cost of next-generation electric vehicles by 30% to make them comparable to models with internal combustion engines by 2030.