Nissan is already preparing for the end of the combustion engine
According to latest reports, Nissan has plans to stop making any new internal-combustion engines as part of the combustion engine ban for all of its major markets except the U.S. While it’s worth noting that the reports don’t specifically reference diesel engines, they too might become a thing of the past, especially since the demand for diesel has slowed even more than petrol.
With the current energy crisis, partly caused by the Russian invasion of Ukraine, Nissan’s plan to forego combustion engine cars seem to come at the right time. Since no one organisation can solve the ever-increasing fuel prices or the increase in CO2 emissions, Nissan is relying on innovation instead by placing more focus on improving current technologies and developing more efficient electric vehicles.
Nissan’s Plans For The Combustion Engine Ban
As stated by one of the world’s largest financial newspapers, Nikkei, Nissan has already stopped developing combustion engines for the European market. This should come as no surprise as the new Euro 7 emissions standards present a significant challenge to automakers across the globe. Nissan concluded that these new rules will significantly increase the cost of Research & Development of next-generation petrol and diesel engines.
With the combustion engine ban in full swing, they believe that better use of time and resources would be to update and improve the current range of combustion engines and put more effort into the powertrains that will be used in hybrid vehicles. While job losses are always a concern, sources “familiar with the company’s plans” revealed that no engine plants will be closed and nobody will lose their job.
How Is Nissan Planning On Becoming More Sustainable?
Nissan plans on building new battery recycling factories in the United States and Europe by the end of 2025, following in the tracks of other automakers. Companies like General Motors Co and Ford Motor Co, have also been involved in efforts to focus more on electric vehicles.
Toward the end of 2021, Nissan committed to investing two trillion Japanese yen (+- R250 billion) by 2030 in aid of developing 15 new electric vehicles. This formed part of their plan to ensure that 50% of its global sales of Nissan and the Infiniti brand consist of hybrid and electric vehicles by 2030.
The 15 new electric vehicles Nissan plans on launching will include a replacement for Europe’s Nissan Micra city car which shares a lot with the updated Renault 5. There are also plans for a new British-made small SUV that many predict would replace the current Nissan Leaf electric hatchback in 2025.
More innovation from Nissan includes the introduction of solid-state battery technology by early 2028. According to the company, these offer double the energy density while reducing charging time by up to two thirds. It could also cut costs to $US65 per kilowatt-hour (kWh) to share a similar cost to that of petrol-powered cars.
Other highlights of Nissan’s future strategy include advancing its semi-autonomous ProPilot driving technology. The plan is to add the tech to 2.5 million Nissan and Infiniti vehicles by the Japanese fiscal year 2026.
In addition to Nissan’s plans, the larger Renault-Nissan-Mitsubishi Alliance has also indicated their intent on launching a total of 35 new electric cars by 2030. This comes after an investment of €23 billion (+- R380 billion*) over the next five years.
Would The Combustion Engine Ban Impact Spare Parts Supply?
While Nissan will continue to develop new petrol engines in the United States, it is mostly for the truck and SUV markets since there is still a huge demand for traditional-powered vehicles. However, Nissan will reduce its annual investments in ICE engine R&D which is currently around 500 billion yen (+- R63 billion*). As part of the plan to phase out petrol engines, this subsequent portion of the savings will be used to develop new electric powertrains and vehicles.
While this all sounds positive and forward-thinking, many consumers and manufacturers might have a few concerns. Would this affect the current supply of combustion engine parts? It may be a valid point but chances of that happening are slim to none since millions of Nissan combustion engine cars are still operating around the world. If you consider the reports and the fact that no manufacturing plants are closing down, this is a highly unlikely scenario but worth keeping an eye on.
How Long Will We Still Be Driving Combustion Engine Vehicles?
With the likely introduction of ultra-low emission zones, the resale value of petrol and diesel cars could drop significantly. This is a direct result of the reduced demand and the increased affordability of electric vehicles. At least we hope so since EVs are still very expensive and the infrastructure is not up to scratch in many countries, including South Africa.
While the combustion engine ban is set between 2030 and 2035, it only applies to new vehicles. People will still be able to buy second-hand petrol, diesel and hybrid vehicles but their running costs could increase substantially. In terms of how long we will be driving ICE vehicles, only time will tell but the transition is inevitable.
Nissan remains a frontrunner in innovation, design and sustainability with an admirable stance on creating better vehicles for a greener future. Why not test drive a Nissan LEAF to get a better understanding of how impressive electric vehicles are?
* Price in ZAR based on exchange rates at the time of writing.
