Like many joint venture brands, Nissan has also encountered some troubles in the Chinese market.
According to official sales data released by Nissan, in March, Nissan's overall sales in China were 59,914 units (including passenger cars and light commercial vehicles). At its peak, the monthly sales of the Sylphy model exceeded 60,000 units, making Nissan's monthly sales in China comparable to the performance of the Sylphy model during its peak period.
In the first quarter of this year, Nissan's cumulative sales in China reached 167,291 units (including passenger cars and light commercial vehicles), with monthly sales exceeding 100,000 units, which was the basic performance of Nissan in the Chinese market in the past.
In the eyes of many industry insiders, the decline in sales of joint venture brands is mainly due to the slow response speed, failing to keep up with the intelligent and electric development pace of the Chinese market, and Nissan is no exception.
Image Source: Nissan
In order to change this situation, Nissan launched "The Arc Nissan Arc Plan" at the end of March this year. Nissan plans to introduce 30 new models in the next three years, including 16 electric models and 14 fuel models to meet the needs of different markets. Nissan will launch 34 electric models from the fiscal year 2024 to 2030, covering all segmented markets. It is expected that by the fiscal year 2026, the global proportion of electric models will reach 40%, and it will increase to 60% by the fiscal year 2030. Furthermore, Nissan has set specific growth plans for North America, China, Japan, as well as Africa, the Middle East, India, Europe, and Oceania markets respectively.
Following this, at the Beijing Auto Show, Nissan flexed its muscles by showcasing 5 new energy concept cars, focusing on demonstrating its latest achievements and future development directions in the fields of intelligence and electrification.
"For the Chinese market, we prioritize speed and customized design for the Chinese market. We adhere to the principle of 'In China, For China,' and the 5 new energy concept cars we are showcasing today are one of the practical strategies. In the next three years, you will see a series of models we will launch. The first model will be launched within a year, and of course, we need to ensure that these models will attract and be accepted by Chinese consumers," said Makoto Uchida, President and CEO of Nissan, in an interview.
It is worth mentioning that most of the new concept cars released by Nissan are mainly developed under Chinese leadership.
Image Source: Nissan
"The price competition in the Chinese market is indeed very intense, and we need to participate in this competition. That's why the 4 new energy concept cars we are showcasing today are all developed based on local speed and local cost. This is our philosophy, as well as the new strategy 'Nissan DNA+' unveiled on the 20th anniversary of Dongfeng Motor Corporation in November last year. We will establish advantages in the 'Chinese standards, Chinese speed, Chinese cost' field, bringing outstanding local advantages to local users. These initiatives will help us maintain competitiveness in the fierce price competition," said Shohei Yamazaki, Global Senior Vice President of Nissan and Chairman of Nissan China Management Committee.
In addition to leveraging more Chinese resources to develop new energy vehicle models, Nissan has also introduced a new brand proposition - 'Excitement by NI', which is a localized interpretation of the Nissan brand's commitment to 'Innovation for Excitement'. Nissan aims to renew its brand through this proposition, striving to become a leader in exciting living experiences, catering to the personalized travel experiences of every 'NI'.
As a brand with a long history, Nissan has garnered a following of car enthusiasts with models like the legendary GTR. In the era of electrification, Nissan is highlighting its strengths by participating in the ABB FIA Formula E Championship. At the Beijing Auto Show, the Nissan Formula E Gen3 race car was also showcased, demonstrating the joy of driving Nissan's pure electric vehicles to consumers.
However, in the era of intelligent electric vehicles, consumer perceptions of driving pleasure are rapidly declining, while the demand for intelligent driving and smart cabins is increasing. Joint venture brands, including Nissan, have been somewhat passive in terms of intelligence. To change this situation, Nissan has begun to engage with Chinese technology companies continuously.
Image Source: Nissan
On the opening day of the Beijing Auto Show, Nissan (China) Investment Co., Ltd. and Baidu Online Network Technology (Beijing) Co., Ltd. signed a memorandum of understanding to conduct a feasibility study on strategic cooperation in the field of artificial intelligence (AI) and smart cars.
The collaboration in this feasibility study includes leveraging Nissan's intelligent platform for vehicles, harnessing Baidu's strengths in generative AI, and jointly developing and researching future technological advancements and the feasibility of commercial cooperation in related fields. Nissan will integrate Baidu's AI solutions into its vehicle models in China to explore the potential of AI solutions. They will actively promote research and cooperation, jointly explore the application and development of innovative technologies in the future automotive industry, and fully utilize each other's expertise and strengths for mutual benefit.
"Nissan's decision to collaborate with Baidu is mainly because our goals are aligned. After in-depth discussions, we believe that Nissan and Baidu share the same considerations and mindset, so we chose to work with Baidu in the field of AI," said Masafumi Matsuyama, General Manager of Nissan (China) Investment Co., Ltd.
Although the collaboration between Nissan and Baidu is still in its early stages, both parties are optimistic about the outcomes. If Nissan and Baidu can achieve successful cooperation in the Chinese market, there is a possibility that Nissan will expand its collaboration with Baidu to overseas markets.
Whether it is developing new energy vehicle models with the help of Chinese partners or collaborating with Baidu to shape the future, Nissan places great importance on the "China factor." As the best market for global intelligent electric vehicle development, China provides Nissan with the most outstanding technical support. For Nissan, leveraging the "China factor" to address "China issues" is undoubtedly the most suitable solution at present.
