Nissan Delivers Affordable Solutions for Purchase, Lease of
All-electric Nissan LEAF?
As low as $25,280 ($32,780 MSRP minus up to $7,500 federal tax credit)
Lease world's first mass-marketed EV for $349 per month
FRANKLIN, Tenn. (March 30, 2010) - Nissan North America, Inc. (NNA) today
announced U.S. pricing for the 2011 Nissan LEAF electric vehicle, which becomes
available for purchase or lease at Nissan dealers in select markets in December
and nationwide in 2011. Nissan will begin taking consumer reservations for the
Nissan LEAF April 20.
Including the $7,500 federal tax credit for which the Nissan LEAF will be
fully eligible, the consumer's after-tax net value of the vehicle will be
$25,280. The Manufacturer's Suggested Retail Price *(MSRP) for the 2011
all-electric, zero-emission Nissan LEAF is $32,780, which includes three years
of roadside assistance. Additionally, there is an array of state and local
incentives that may further defray the costs and increase the benefits of owning
and charging a Nissan LEAF - such as a $5,000 statewide tax rebate in
California; a $5,000 tax credit in Georgia; a $1,500 tax credit in Oregon; and
carpool-lane access in some states, including California.
As a result of aggressive pricing and the availability of the $7,500 federal
tax credit whose benefit is immediately included, Nissan will be able to offer a
monthly lease payment beginning at $349, not including state or local
incentives, which could further reduce the net cost of the Nissan LEAF.
"Imagine the possibility of never needing to go to a gas station again. Or of
paying less than $3 for 100 miles behind the wheel. Or of creating zero
emissions while driving," said Brian Carolin, senior vice president, Sales and
Marketing, NNA. "Nissan leads the industry by offering the first affordable,
zero-emission vehicle for the mass market. Nissan LEAF truly is in a class by
itself."
The vehicle at the standard SV trim level is well-equipped with a variety of
standard features, including an advanced navigation system and Internet/smart
phone connectivity to the vehicle, including pre-heat/pre-cool and charging
control. Nissan LEAF is equipped with energy-efficient LED headlights and makes
extensive use of recycled and recyclable materials, such as seat fabric,
instrument panel materials, and front- and rear-bumper fascias. Other standard
amenities include Bluetooth connectivity; Intelligent-key with push button
start; Sirius/XM satellite radio capabilities and roadside assistance. Safety
features include vehicle dynamic control (stability control), traction control
and six airbags. The SL trim level, available for an additional $940 (MSRP),
adds features including rearview monitor, solar panel spoiler, fog lights, and
automatic headlights.
Reservations & Purchase
In order to ensure a one-stop-shop customer experience, Nissan is carefully
managing the purchase process from the first step, when consumers sign up on NissanUSA.com, until the customer takes the
Nissan LEAF home and plugs it into a personal charging dock.
- Nissan begins accepting reservations on April 20 first from people who have
signed up on NissanUSA.com, and, after a
brief introductory period, to all interested consumers.
- Consumers will be required to pay a $99 reservation fee, which is fully
refundable.
- Reserving a Nissan LEAF ensures consumers a place in line when Nissan begins
taking firm orders in August, as well as access to special, upcoming Nissan LEAF
events.
- Rollout to select markets begins in December, with nationwide availability
in 2011.
Charging Equipment
In tandem with the purchase process, Nissan will offer personal charging
docks, which operate on a 220-volt supply, as well as their installation. Nissan
is providing these home-charging stations, which will be built and installed by
AeroVironment, as part of a one-stop-shop process that includes a home
assessment.
- The average cost for the charging dock plus installation will be $2,200.
- Charging dock and installation are eligible for a 50 percent federal tax
credit up to $2,000.
- Using current national electricity averages, Nissan LEAF will cost less than
$3 to "fill up."
- Nissan LEAF also will be the sole vehicle available as part of The EV
Project, which is led by EV infrastructure provider eTec, a division of
ECOtality, and will provide free home-charging stations and installation for up
to 4,700 Nissan LEAF owners in those markets.
In North America, Nissan's operations include automotive design, engineering,
consumer and corporate financing, sales and marketing, distribution and
manufacturing. Nissan is dedicated to improving the environment under the Nissan
Green Program 2010, whose key priorities are reducing CO2 emissions, cutting
other emissions and increasing recycling. More information on the Nissan LEAF
and zero emissions can be found at www.NissanUsa.com.
DAILY COMMUTE IN YOUR LEAF WEEK-END ADVENTURE IN YOUR LEAF
02.11.2010 , NEW YORK
NISSAN ANNOUNCES NISSAN LEAF PURCHASE PROCESS; GIVES FIRST GLIMPSE AT
MARKETING CAMPAIGN
Nissan LEAF Zero-Emission Tour Culminates
in New York
The Nissan LEAF Zero-Emission Tour culminated today
with an appearance in New York City. The three-month tour, which made 63 stops
in 24 cities, offered the opportunity for interested drivers, media, civic
partners, businesses and university students to learn more about the Nissan LEAF
and the benefits of zero-emission driving.
The tour helped pave the way
for the 2010 introduction of Nissan LEAF, the world's first all-electric,
zero-emission car designed for the mass market, and leads up to the start of the
vehicle-purchase process. The Nissan LEAF will be available to consumers via
lease or sale, in a single transaction that includes the battery. Steps to
acquiring a Nissan LEAF are:
- REGISTER: Interested people can
register for more information about the Nissan LEAF on www.NissanUSA.com. To date, close to
50,000 people have registered on the website. Registrants will be given first
priority to reserve a Nissan LEAF.
- RESERVE: The reservation process will
begin in April, shortly after the announcement of the price of the Nissan LEAF.
Upon paying a fully refundable $100 reservation fee, registrants will be among
the first in line able to order a Nissan LEAF.
- ORDER: Nissan will begin taking firm
orders in August, for deliveries when sales begin in the driver's particular
market.
- EARLY DELIVERIES: Rollout begins in
select markets in December 2010, with vehicles available in all major launch
markets quickly thereafter.
"The Nissan LEAF purchase process is
effortless, transparent and accessible, offering value with a one-stop-shop
approach for everything related to the car, including the assessment, permitting
and installation of in-home battery charging units," said Carlos Tavares,
Chairman, Nissan Americas. "We want everyone to feel good about having a car
that is affordable, fun to drive and good for the environment."
Coinciding with this next phase of the Nissan LEAF launch is the debut
of Nissan's initial global marketing campaign, which is called "The New Car." A
first look at the campaign -- which illustrates Nissan's passion about the
potential for zero-emission mobility and a better, cleaner world -- was shown in
New York as part of the culmination of the Nissan LEAF Zero-Emission Tour.
The Nissan LEAF Zero-Emission Tour covered 10,000 miles in the United
States and Canada, providing the first opportunity for more than 100,000 people
to see and learn about the Nissan LEAF first hand.
"There was a
groundswell of grassroots support from coast to coast," said Tavares.
"Everywhere we went, people recognized a new form of mobility -- a turning point
-- and they wanted to be a part of it. The response was spontaneous and diverse.
We were joined by mayors and government officials, CEOs, utility partners, car
enthusiasts, students, dealers, media, environmentalists, Twitter users and lots
of families."
Tour Highlights:
- Diverse tour stops, stretching from Stanford University to the Kennedy Space
Center. Other stops included: Phoenix on New Year's Eve, in conjunction with the
Fiesta Bowl; Qwest Field in Seattle; the Oregon Museum of Science and Industry
in Portland; and a charging-station-equipped McDonald's in Cary, N.C. The tour
also stopped at Nissan Americas in Franklin, Tenn; the Smyrna, Tenn.,
manufacturing facility where the Nissan LEAF will be built starting in 2012; and
Nissan Design Americas in San Diego. New York area stops include Madison Square
Garden (Feb. 10), and upcoming public displays at the Time Warner Center (Feb.
12) and the Liberty Science Center (Feb. 13).
- Due to the high level of interest, Atlanta and Boston were added to the
original tour schedule, bringing total cities to 24.
- Nearly 50,000 people have registered to receive information and learn more
about the Nissan LEAF on www.NissanUSA.com as a result of the tour.
Signing up online is the first step in the reservation and purchase process.
- Already, the Nissan LEAF has received more than 10 media and environmental
awards, including the Green Car Vision Award, presented at the Washington Auto
Show by Green Car Journal.
- The announcement of the closing of Nissan's loan with the U.S. Department of
Energy. The $1.4 billion loan will fund the modification of Nissan's Smyrna,
Tenn., manufacturing plant to produce the Nissan LEAF and batteries to power it.
Groundbreaking for the new battery plant will take place in May.
- The announcement of a joint commitment with Hertz, the world's largest
general market rental brand, to bring zero-emission mobility car rental to the
United States and Europe in 2011. Hertz is developing a rollout of the Nissan
LEAF at select rental sites in both major markets.
- Nissan announced that AeroVironment will supply and install home charging
stations for the Nissan LEAF, creating a one-stop shop for the Nissan LEAF and
its charging equipment.
- The tour reached all markets that are part of The EV Project, the world's
largest EV infrastructure deployment ever undertaken. The EV Project, funded by
a $98 million grant from the Department of Energy and led by EV infrastructure
provider eTec, a division of Ecotality, will provide an unprecedented number
(6,510) of public charging stations across the 5 participating markets and will
provide home charging stations for up to 4700 Nissan Leafs sold in those
markets. The public stations will include both Level 2 (240V) and Level 3 DC
fast chargers. The EV Project markets are Seattle, Oregon, Tennessee (Knoxville,
Nashville and Chattanooga), Phoenix/Tucson, Ariz., and San Diego.
- The tour also served as the backdrop to announce newly established
partnerships with Reliant Energy of Houston; the City of Orlando and the Orlando
Utilities Commission; the City of Houston; and the State of Massachusetts. These
agreements, like three dozen others globally, are designed to promote the
development of an electric-vehicle charging network and policies to support the
widespread adoption of electric cars.
- Existing partnerships furthered progress, taking steps like securing letters
of intent for vehicle fleet purchases and the formation of working groups and
task forces to foster the development of the electric-vehicle infrastructure,
such as Oregon's Governor's Alternative Fuel Vehicle Infrastructure Working
Group. In North America, Nissan has spearheaded a holistic approach to
zero-emission mobility by working with states, municipalities, utility companies
and other partners, to prepare markets and infrastructure. Nissan has formed 18
partnerships in the United States, in areas including State of Tennessee, the
State of Oregon, Sonoma County, San Diego and San Francisco in California,
Phoenix and Tucson, Ariz., Washington D.C., Seattle, with the City of Orlando
and Orlando Utilities Commission, with Progress Energy in Raleigh, N.C., with
the City of Houston and Houston-based Reliant Energy, with the State of
Massachusetts. Nissan also has formed partnerships with Mexico City and
Vancouver, Canada.
Nissan, along with alliance partner Renault, is
the only automaker committed to making all-electric vehicles available to the
mass market on a global scale.
In North America, Nissan's operations
include automotive design, engineering, consumer and corporate financing, sales
and marketing, distribution and manufacturing. Nissan is dedicated to improving
the environment under the Nissan Green Program 2010, whose key priorities are
reducing CO2 emissions, cutting other emissions and increasing recycling. More
information on the Nissan LEAF and zero emissions can be found at
www.nissanusa.com/leaf-electric-car.
01.11.2010
NISSAN NORTH AMERICA SELECTS AEROVIRONMENT TO INSTALL HOME-CHARGING STATIONS FOR NISSAN LEAF
Agreement part of one-stop shop experience for EV purchase process
Detroit, Mich. - 
Nissan North America (NNA) today announced its selection of
AeroVironment (NASDAQ: AVAV) (AV) to supply electric vehicle
home-charging stations and installation services supporting the
introduction of the zero-emission, all-electric Nissan LEAF later this
year.
The Nissan LEAF five-passenger electric car will be powered by an
advanced, lithium-ion battery pack that will provide a drive range of
100 miles on a full charge, as measured by the LA4 test cycle. AV's
Nissan-branded charging stations will be available at the sale of each
Nissan LEAF as part of the vehicle's total driving system. The
home-charging stations are designed to provide a safe and reliable
charge when installed with a connection to a 220-volt line. It will
take eight hours to fully charge the Nissan LEAF from a fully
discharged state.
Home charging will represent a highly convenient charging method for
the Nissan LEAF customer. AV's nationwide network of qualified,
licensed electricians will offer pre-installation home assessment
services prior to vehicle delivery, and will install the charging
stations.
"Nissan is committed to bringing zero-emission mobility to the United
States, and around the world," said Carlos Tavares, Chairman, Nissan
Americas. "A part of that commitment is delivering a one-stop shop
experience for the new car owner, which is why we chose AeroVironment.
As a result of our selection, drivers of the Nissan LEAF will be able
to charge their vehicles safely overnight at their own homes."
"By introducing a practical electric passenger and fleet vehicle,
Nissan is moving boldly to link driving with zero emissions and energy
independence," said Tim Conver, AV's chairman and chief executive
officer. "Our selection as Nissan's preferred charging equipment and
service provider, for what we believe will be the largest adoption of
battery electric cars in history, represents a great opportunity to
apply our nationwide EV charging infrastructure solutions to the
successful introduction of the Nissan LEAF. We are committed to making
those who purchase a Nissan LEAF and our universal home charging system
successful in the use of clean, electric vehicles."
Nissan announced this supply agreement at the North American
International Auto Show, where the Nissan LEAF was being displayed for
international media Jan. 11-12. Nissan, along with its alliance partner
Renault, is the only automaker committed to making all-electric
vehicles available to the mass market on a global scale. The Nissan
LEAF will go on sale in select markets in the United States in December.
In North America, Nissan's operations include automotive design,
engineering, consumer and corporate financing, sales and marketing,
distribution and manufacturing. Nissan is dedicated to improving the
environment under the Nissan Green Program 2010, whose key priorities
are reducing CO2 emissions, cutting other emissions and increasing
recycling. More information on the Nissan LEAF and zero emissions can
be found at www.nissanusa.com/leaf-electric-car.
About AeroVironment (AV)
- Building
on a history of technological innovation, AV designs, develops,
produces, and supports an advanced portfolio of Unmanned Aircraft
Systems (UAS) and efficient electric energy systems. Agencies of the
U.S. Department of Defense and allied military services use the
company's battery-powered, hand-launched UAS to provide situational
awareness to tactical operating units through real-time, airborne
reconnaissance, surveillance, and target acquisition. AV's clean
transportation solutions include power cycling and test systems and
industrial electric vehicle charging systems for commercial and
institutional customers, as well as EV home chargers and EV fast
chargers for consumers. More information about AV is available at
www.avinc.com.

NISSAN
UNVEILS "LEAF" - THE WORLD'S FIRST ELECTRIC CAR DESIGNED FOR AFFORDABILITY
AND REAL-WORLD REQUIREMENTS
Event ushers in a new era for Nissan and a new era
for mobility
YOKOHAMA -
Nissan Motor Co., Ltd. today unveiled Nissan LEAF, the world's first
affordable, zero-emission car. Designed specifically for a lithium-ion
battery-powered chassis, Nissan LEAF is a medium-size hatchback that
comfortably seats five adults and has a range of more than 160km (100 miles)
to satisfy real-world consumer requirements.
NISSAN LEAF
Slated for launch in late 2010 in Japan, the United States, and Europe,
Nissan LEAF ushers in a new era of mobility - the zero-emission era.
The car is the embodiment of Nissan's radical, transformative vision for the
future and the culmination of decades of investment and research.
"Nissan LEAF is a tremendous accomplishment - one in which all Nissan
employees can take great pride," said Nissan President and CEO Carlos
Ghosn. "We have been working tirelessly to make this day a reality
- the unveiling of a real-world car that has zero - not simply reduced
- emissions. It's the first step in what is sure to be an exciting
journey - for people all over the world, for Nissan and for the industry."
Key characteristics of the LEAF include:
- Zero-emission power train and platform
- Affordable pricing
- Distinctive design
- Real-world range autonomy - 160km (100 miles)
- Connected Mobility: Advanced intelligent
transportation (IT) system
The "LEAF" name is a significant statement about the car
itself. Just as leaves purify the air in nature, so Nissan LEAF
purifies mobility by taking emissions out of the driving experience.
Pricing details will be announced closer to start of sales in late 2010;
however, the company expects the car to be competitively priced in the range
of a well-equipped C-segment vehicle. Additionally, Nissan LEAF is
expected to qualify for an array of significant local, regional and national
tax breaks and incentives in markets around the world. As an added
benefit, because the vehicle has less mechanical complexity than a
traditional gasoline-powered car, Nissan LEAF is designed to be friendly to
the wallet as well as to the environment.
ZERO-EMISSION MOBILITY
Nissan LEAF is powered by laminated compact lithium-ion batteries, which
generate power output of over 90kW, while its electric motor delivers
80kW/280Nm. This ensures a highly responsive, fun-to-drive experience
that is in keeping with what consumers have come to expect from traditional,
gasoline-powered automobiles.
Unlike internal-combustion engine (ICE) equipped vehicles, Nissan LEAF's
power train has no tail pipe, and thus no emission of CO2 or other greenhouse
gases. A combination of Nissan LEAF's regenerative braking system and
innovative lithium-ion battery packs enables the car to deliver a driving
range of more than 160km (100 miles) on one full charge*. (*US LA4
mode)
Extensive consumer research demonstrates that this range satisfies the daily
driving requirements of more than 70% of the world's consumers who drive
cars.
And, Nissan's approach makes charging easy and convenient. Nissan LEAF
can be charged up to 80% of its full capacity in just under 30 minutes with a
quick charger. Charging at home through a 200V outlet is estimated to
take approximately eight hours - ample time to enable an overnight refresh
for consumer and car alike.
REAL-WORLD CAR
The engineers and designers behind Nissan LEAF worked to create a
competitively priced real-world car that would enable Nissan to lead mobility
into the zero-emission era. To ensure comfort, spaciousness and cargo
capacity, Nissan LEAF employs a completely new chassis and body layout.
"Our car had to be the world's first, medium-size, practical EV that
motorists could afford and would want to use every day. And that's what we've
created. The styling will identify not only Nissan LEAF but also the owner as
a participant in the new era of zero-emission mobility," said Masato INOUE,
Product Chief Designer.
DISTINCTIVE DESIGN
Even the smallest details can yield tremendous effect.
Nissan LEAF's frontal styling is characterized by a sharp, upright V-shaped
design featuring long, up-slanting light-emitting diode (LED) headlights that
employ a blue internal reflective design that announces, "This car is
special." But the headlights do more than make a statement. They
are also designed to cleverly split and redirect airflow away from the door
mirrors, thus reducing wind noise and drag. And, the headlights provide
yet one more benefit in that they consume about 50 percent of the electricity
of conventional lamps, which helps Nissan LEAF to achieve its world-class
range autonomy.
Through bright trim colors inside, Nissan LEAF creates a pleasing and stylish
cabin environment. An environmentally friendly "blue earth" color theme
originates from the Aqua Globe body color of Nissan LEAF's introductory
model. This theme is carried into the interior through blue dashboard
highlights and instrument illumination.
CONNECTED MOBILITY IT SYSTEM
Nissan LEAF employs an exclusive advanced IT system. Connected to a
global data center, the system can provide support, information, and
entertainment for drivers 24 hours a day.
The dash-mounted monitor displays Nissan LEAF's remaining power - or
"reachable area" - in addition to showing a selection of nearby charging
stations.
Another state-of-the-art feature is the ability to use mobile phones to turn
on air-conditioning and set charging functions - even when Nissan LEAF is
powered down. An on-board remote-controlled timer can also be
pre-programmed to recharge batteries.
"The IT system is a critical advantage," says Tooru ABE, Chief Product
Specialist. "We wanted this vehicle to be a partner for the driver and an
enhancement for the passengers. We also wanted this vehicle to
help create a zero-emission community, and these IT features will help make
that possible."
HOLISTIC APPROACH TO ZERO-EMISSION MOBILITY AND ECO-FRIENDLY INNOVATION
Nissan LEAF is a critical first step in establishing the era of zero-emission
mobility; however, Nissan recognizes that internal-combustion engine (ICE)
technologies will play a vital role in global transportation for decades to
come. Because of this, Nissan is implementing its zero-emission vision
through a holistic approach, which provides consumers a comprehensive range
of eco-friendly technologies from which to choose.
For some consumers, Nissan LEAF will be the perfect match, and the only car
they will ever need. For others, Nissan LEAF will be a logical addition
to the family fleet - the optimal choice for the daily commute, for
example.
While zero-emission is the ultimate goal, the company is committed to ongoing
innovation in eco-friendly technologies that increase efficiency and reduce
emissions. As a result, Nissan offers a comprehensive suite of
automotive technologies, including CVT, Idle Stop, HEV, Clean Diesel, and ongoing
research and investment in FCV technology.
WORLDWIDE PARTNERS
Zero-emission mobility programs under the banner of the Renault-Nissan
Alliance include partnerships with countries such as the UK and Portugal,
local governments in the Japan and the USA, and other sectors, for a total of
nearly 30 partnerships worldwide.
In these partnerships major efforts focus on three areas:
- Development of a comprehensive charging
infrastructure through public and private investment,
- Incentives and subsidies from local, regional, and
national governments, and
- Public education on the individual and societal
benefits of zero-emissions mobility.
ZERO-EMISSION VEHICLE PRODUCTION
Nissan LEAF is the first in the company's forthcoming line of EVs and is a
major milestone in the realization of the Renault-Nissan Alliance's vision
for zero-emission mobility. The first of Nissan's EV's will be
manufactured at Oppama, Japan, with additional capacity planned for Smyrna,
Tennessee, USA. Meanwhile, lithium-ion batteries are being produced in
Zama, Japan, with additional capacity planned for the USA, the UK and
Portugal, and other sites for investment are under study around the world.ABOUT NISSAN MOTOR CO., LTD.
Nissan Motor Co., Ltd. is a global automotive company with vehicle sales of
3.411 million in 2008. Nissan is present in all major auto markets
worldwide, selling a comprehensive range of cars, pickup trucks, SUVs, and
light commerical vehicles.
NISSAN BLUE CITIZENSHIP
Nissan is committed to making a better world through its commitment to
corporate social responsibility. This includes programs that focus on
technological innovations that focus on people and care for the planet.
Our vision for zero-emission mobility is an outgrowth of our CSR approach,
which we call Blue Citizenship. Together, we are working with our
Alliance partner, Renault, to make a better world through zero-emission
mobility

By HANS GREIMEL, AUTOMOTIVE NEWS
Nissan Motor Co. CEO Carlos Ghosn is spending big money to make electric vehicles in high volumes--and soon.
On Aug. 2, Ghosn will unveil the first of three electric models in three vehicle segments that he plans to sell by 2013. The vehicles will be made in the United States, Japan and Europe. "We have a different strategy from other car manufacturers," Ghosn says. "We are the only ones investing for mass marketing, which is a risk, yes. But we think it is a bet in the right direction."
That bet takes shape at a new lithium ion battery plant and at an electric-vehicle assembly line that Nissan will build at its Smyrna, Tenn., manufacturing complex. A $1.6 billion low-interest loan from the U.S. government will cover some of the costs. Analysts question the payoff. Nissan is not alone in going electric.
-- In June, Fuji Heavy Industries Ltd., maker of Subaru cars, began leasing electric cars in Japan. Mitsubishi Motors Corp. follows later this month.
-- Toyota Motor Corp. will sell a plug-in Toyota Prius after 2010, taking on the Chevrolet Volt, which goes on sale in November 2010.
-- BMW AG's Mini brand is testing a plug-in model in the United States.
-- Tesla Motors Inc., owned 10 percent by Daimler AG, received a $465 million government loan to help bring its $57,400 Model S electric sedan to market. 'Go for mass market' But rivals see initial volume in the hundreds or thousands. Ghosn wants hundreds of thousands. "If you go for EV, you should go for mass market,"he says.
Analysts warn of hype. Battery-powered cars may be the wave of the future, but costs are high; the recharging infrastructure isn't there, and hefty government subsidies are needed to make electric vehicles competitive.
Nissan sees the technology as its best chance to eclipse Toyota and Honda Motor Co., which beat Nissan in introducing hybrid vehicles. "This is an opportunity to go into a whole new technology and own that space," says Andy Palmer, head of Nissan's electric-vehicle program. "Hybrid vehicles compete with the internal combustion engine. But EVs are a segment all their own." Nissan's consumer research shows that "there are definitely more than 100,000 in the United States who want" their next car to be an electric, Palmer says.
Dealers excited "We can't get them soon enough," says Bill Newton, owner of Newton Nissan in Gallatin, Tenn. "Customers have already been asking about the cars since the news broke about Nissan's plans to build the car here in Tennessee."
In California, Nissan of Elk Grove owner John Driebe thinks Nissan has identified a powerful new market segment. "A lot of Americans really want to stop using imported oil," he says. "We're excited about being able to market a car that will never use a drop of gasoline." Driebe's market near Sacramento is home to about 80,000 California state employees, many of whom are worried about the state's current budget crisis. Driebe sees commuting state employees as an ideal demographic group for the car. "By the time the electric car comes on line in 2012, the economy in California will be in a better place," says Driebe, the 2006 chairman of the Nissan Dealer Advisory Board. "Nissan is really committing to this idea, and I think they're going to be proven right."
The Tennessee factories will have capacity for 150,000 vehicles and 200,000 battery packs a year. Production begins in late 2012. Nissan also will build electric vehicles at its Oppama assembly plant south of Tokyo, starting next fall with a capacity of 50,000. It also plans an electric-vehicle plant for Europe and is studying a plant for China.
The first Japan-built car goes on sale in the United States and Japan next year to fleet customers such as corporations and local governments. It will be a four-door hatchback seating five people -- about the size of the Nissan Cube or Versa--with a range of 100 miles per charge. Pricing isn't set.
Oil vs. electrons Batteries are expensive. But Ghosn thinks rising oil prices will tilt the economics in favor of electrons. If crude oil rises above $80 a barrel, Nissan's electric vehicles will be cheaper to own and operate than gasoline-powered cars, he says. Crude trades for around $70 a barrel today. Analysts say that will rise as the global economy recovers. Ghosn aims for Nissan's electric cars, minus the battery, to cost as much as a standard car. Consumers will lease the battery at a cost that, including charging, will match what they would have paid for gasoline. Chris Richter, an analyst with CLSA Asia-Pacific Markets, says, "If they can make good on Ghosn's promise of a price comparable to a normal car, I think people will lap these up."
Nissan hasn't said how much it is spending on its electric ambitions. The first of the three models costs as much to develop as three normal cars, a person familiar with the situation says. The total investment in battery and car assembly at Smyrna is expected to exceed Nissan's $1.6 billion loan from Washington, he says.
The machinery needed to make 50,000 batteries a year costs more than $300 million, he said. Add in other costs, and the price tag just for battery plants in the United States, Japan and Europe -- which together will make more than 300,000 battery packs a year -- could total about $1.5 billion.
Analysts ask whether Nissan's bid to take an early lead in electrics is worth the cost. Kurt Sanger, an auto analyst with Deutsche Securities Inc., says, "If the competition just sits back to see if it works and then uses its brand credibility to enter the market, there's no need to be first." But Ghosn sees his bet as positioning Nissan for the future, not just beating rivals to market with a single model. "It's a complete new lineup. Big cars, small cars, vans, light commercial vehicles, entry-level cars," Ghosn says. "It's a complete new way of looking at our industry."
AutoWeek | Updated: 07/06/09, 8:49 am et