Key facts
- Nissan is implementing a recovery plan that includes workforce reductions and plant closures.
- Nissan's e-Power technology functions as a hybrid, running on an EV battery charged by a gasoline engine.
- Toyota is developing future mobility technologies at its Woven City.
- Japanese automakers face market challenges due to U.S. tariff policies.
Japanese automakers, including Nissan and Toyota, have historically relied on hybrid vehicle technology as a bridge to electrification. Nissan, currently facing significant financial losses, is pinning its hopes on its e-Power hybrid system, which operates on an electric motor powered by a gasoline engine, offering a quiet ride without the need for external charging. This strategy is part of a broader recovery plan that involves substantial workforce and plant reductions.
Nissan's Chief Technology Officer, Eiichi Akashi, highlighted the innovative nature of e-Power, emphasizing its convenience for users who can simply refuel at gas stations. However, the company, which reported a $4.5 billion loss for the fiscal year ending March, desperately needs a successful model, particularly in the crucial North American market. This market, along with others, presents challenges for Japanese automakers due to U.S. tariff policies enacted under President Donald Trump.
Nissan's ambitious recovery plan, led by CEO Ivan Espinosa, includes slashing approximately 15% of its global workforce (around 20,000 employees) and reducing its manufacturing footprint from 17 plants to 10. The company has not yet disclosed pricing for its upcoming e-Power models. Daihatsu Motor Co. is noted as another automaker offering similar technology.
Meanwhile, Toyota is exploring future mobility solutions at its Woven City, a real-world prototype city designed for testing advanced technologies in areas such as mobility, sustainability, and urban living. This initiative underscores Toyota's long-term vision for technological development in the automotive sector.