Nissan reduces the price of its top electric vehicle model in China by approximately 8,740 dollars, following a price reduction by Toyota in a similar offering.
In the rapidly evolving electric vehicle (EV) market in China, Nissan has made significant adjustments to the pricing of its Ariva model. The latest starting price for the Ariva, which was officially launched in China on September 27, 2022, stands at RMB 224,800, a reduction from its previous price of RMB 284,800 for the single-motor entry version and RMB 297,800 for the higher-priced single-motor version. The two dual-motor models have also seen price reductions, with starting prices now at RMB 267,800 and RMB 282,800, down from RMB 327,800 and RMB 342,800 respectively.
These price adjustments come in the wake of Tesla lowering the prices of all China-made models on January 6. The Ariva's price was raised on January 4 due to the end of national subsidies for new energy vehicles (NEVs) in China, but the recent reductions aim to maintain competitiveness in the market.
Nissan currently offers several all-electric models in China, including an all-electric version of the Sylphy. The Ariva, being the first global model under Nissan's Nissan Next strategy, is a significant part of the company's electric vehicle strategy. While the Ariva is primarily associated with markets like the US and Canada, Nissan has been focusing on its Chinese-built models, such as the N7 sedan, for export to other regions, including Southeast Asia and potentially Europe.
In comparison, Japanese automakers like Toyota and Honda have been actively expanding their electric vehicle offerings. Toyota has been investing heavily in its electric and hybrid vehicles, while Honda has announced plans to launch more electric models. However, Nissan's strategy includes increasing its electric vehicle share in the US market, aiming for 40% of sales to be electric by 2030.
Tesla, a major player in the global EV market, has been setting trends with its competitive pricing and extensive charging network. Nissan, while offering competitive models like the Leaf and Ariya, faces challenges such as production cutbacks due to supply chain issues, including those related to rare earth metals. Tesla's ability to adjust pricing and expand its charging infrastructure gives it a significant advantage over competitors like Nissan.
The EV market in China is witnessing a shift towards electric vehicles, with many manufacturers investing in electrification to meet growing demand and regulatory standards. Data released by the China Passenger Car Association (CPCA) shows that retail sales of all vehicles in China, including passenger cars, light commercial vehicles, and imported vehicles, fell in January. Despite this, the penetration rate of NEVs among local Chinese brands was 43.8 percent, compared to 21.4 percent for luxury brands and only 2.7 percent for mainstream joint venture brands.
In January, China's NEVs had a 25.7 percent penetration rate, up 8.7 percentage points from a 17 percent penetration rate in January 2022, but down from 29.5 percent in December. While Nissan and other Japanese automakers have fallen significantly behind in China's EV market compared to local Chinese brands, the ongoing price adjustments and strategic decisions by manufacturers like Nissan indicate a continued effort to remain competitive in this rapidly evolving market.
[1] [Source](URL_for_the_source_1) [2] [Source](URL_for_the_source_2) [3] [Source](URL_for_the_source_3) [4] [Source](URL_for_the_source_4) [5] [Source](URL_for_the_source_5)
- The recent price adjustments on the Nissan Ariva in China attempt to maintain competitiveness in the electric vehicle market, following Tesla's reductions in the prices of its China-made models.
- Despite the price increase of the Ariva due to the end of national subsidies for new energy vehicles, Nissan's strategic focus on its Chinese-built models, such as the Ariva, indicates a commitment to growing its share in China's electric vehicle market.
- Nissan's electric vehicle strategy includes increasing its electric vehicle sales in both the Chinese and US markets, aiming for 40% of sales to be electric by 2030 in the US.
- Tesla's advantage in the global EV market comes from its competitive pricing, extensive charging network, and ability to adapt to the market, while facing challenges such as production cutbacks due to supply chain issues, including those related to rare earth metals.
