Nissan to boost EV output
Nissan says it has been caught out by accelerating hybrid and electric car sales in China amid a price war in the country.
The company has slashed its forecasts for China and will reduce how many petrol vehicles it makes while boosting production of battery electric vehicles (BEVs) and plug-in hybrids (PHEVs).
Nissan expects to sell between 2.97 million and 3 million cars this year, down from a previous forecast of 3.15 million, mainly because of its struggles in China.
Chief executive Ivan Espinosa, pictured, says: “China remains our biggest challenge. Demand is weaker, competition is intensifying and the shift to new-energy vehicles is happening faster than expected. The market is very harsh.”
The company has reported increased sales in North America and its home market, regions in which the shift to EVs has been much slower because of policy decisions, including US President Donald Trump canning incentives on electric models.
That divergence between different parts of the world illustrates the challenge for carmakers. Many are trying to continue selling more profitable petrol and diesel vehicles for as long as possible at the risk of being overtaken by Chinese competitors, especially when it comes to electric.
The government in China has subsidised the country’s EV sector, which has led to a huge number of Chinese competitors chasing a shrinking market.
Nissan’s sales in China tumbled by 22 per cent in the first half of the year. That pressure intensified from July through to October and left its deliveries down by 32 per cent for the first nine months of 2026, reports the Japanese brand.
Espinosa says its product line-up there, led by the Sylphy stable of sedans, is too heavily associated with internal combustion engines (ICEs), so the company is cutting local production and exporting some products while trying to boost its N series of BEVs and PHEVs.
At the same time as pushing for more EV output in China, Nissan has been among the manufacturers slowing the shift to cars with plugs in Europe. In the UK, it has lobbied to water down the zero-emissions vehicle mandate – a target for increasing electric sales – and to carry on selling ICEs post-2025.
