Japan’s automakers and customers have a reputation for being slow to embrace the transition to electric vehicles, but an unlikely domestic winner may be an example of how EVs can evolve to suit different markets. Provide hints.
Nissan Motor Co.’s Sakura (co-developed with Mitsubishi Motors and sold as the eK
The models, which jointly won the 2022 Japan Car of the Year award, have sold 35,099 units so far this year, accounting for about half of all EV sales in the country, according to data from the auto industry group. ing.
Keiko Kondo, chief marketing manager for Nissan’s Sakura domestic business, said, “We launched the light EV to suit the daily needs and road conditions of Japanese people.”
Small and boxy, EVs’ dimensions correspond exactly to the class of cars known as kei (Japanese for “light”), making them perfect for navigating the country’s narrow roads.
Their fuel efficiency and low taxes make them popular among workers and families living outside large cities where public transportation is sparse.
It is equipped with an electric motor that achieves acceleration and speed that exceeds that of other light vehicles, and provides a ride comfort closer to that of a regular car. The battery has a limited range of around 180km, but can be fully charged overnight and plugged into a household outlet.
A salesman at a Nissan dealership in Fujisawa, a suburb of Tokyo, said many customers buy it as an additional vehicle to run errands around town. Takatoshi Ebara (59), a resident of Saitama Prefecture, bought the Sakura to replace the hybrid car his family had been using as a second car because his children had grown up and they no longer needed a large car.
“My wife’s commute is only 6km, so I switched to Sakura,” he said. “I’m also driving, and I’m very satisfied.”
Sakura and eK X are leading the charge in the still sluggish EV market. Fully electric vehicles accounted for just 1.5% of new car sales in Japan last year.
Kondo said that the price of a light vehicle is about 2 million yen ($13,300), including government subsidies, making it an “EV that anyone can use.” The decline in the number of gas stations in suburban and rural areas is also contributing to the spread of EVs, which can be easily charged at home.
Among domestic manufacturers, Suzuki, Toyota Motor Corporation, and subsidiary Daihatsu Motor Corporation will introduce commercial light EVs for business use by March, and Honda also plans to introduce them in 2024.
Still, not all automakers are jumping on the light car bandwagon, preferring to focus on producing larger EVs that can generate greater profits. This is clear from the models scheduled to be exhibited at the Japan Mobility Show this week.
Furthermore, it is difficult to translate success in Japan into overseas sales. The Sakura and eK The maximum speed of Sakura and eK X is approximately 130km/h.
Light vehicles cannot drive on U.S. roads, but Mercedes-Benz AG is entering the field with its Smart Car, initially with a gasoline engine and now sold as an electric vehicle by Zhejiang Geely Holding Group.
Kondo said Nissan will continue to have an advantage in EV sales due to its dealer network and experience selling EVs, especially with the Leaf, the first EV from a major global manufacturer since 2010. As of July 25th, we have achieved the milestone of selling more than 650,000 Leafs worldwide.
“As a pioneer in Japan’s EV industry, we aim for Nissan to maintain its position as the number one EV seller next year and the year after,” she said. Nissan plans to release 19 EV models by 2030, and to start using solid-state batteries by 2028.
More broadly, converting Japanese drivers to EVs remains a challenge.
Yoshiaki Kono, associate director at S&P Global Mobility, said the main reasons for the lack of widespread adoption of fully electric vehicles in Japan are high prices, lack of charging infrastructure and the growing number of hybrid options. .
According to data from the Japan Automobile Dealers Association and the light vehicle industry group Zenkei Jikyo, about half of the cars sold in Japan in September were hybrid cars.
“As far as battery EVs are concerned, there may be a big market in China and some European countries,” said Koji Endo, managing director at SBI Securities, adding that penetration in the U.S. will not be as high as in the previous two countries. Ta. In Japan, he said, “EVs probably won’t have 50% market share, at least for the foreseeable future.”
Sakura owner Yoshinori Suwa, 41, said that with subsidies and assistance from Nissan to install a charging system at his home in Fukushima, the cost of the Sakura has come down to the same level as a used car.
“Running costs are also low,” he said. “I’m more than happy to be freed from the hassle of refueling and changing oil.”
Updated: October 25, 2023, 3:00 a.m.