The Arc: Nissan’s Strategic Business Plan Unveiled

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Nissan Motor Co., Ltd. announced The Arc, a strategic business initiative designed to elevate the company’s market position by enhancing its product lineup, embracing electrification, and optimizing its development and manufacturing processes. This comprehensive plan also leverages strategic partnerships to bolster Nissan’s global sales and profitability, marking a pivotal step in the company’s journey towards its Ambition 2030 vision.

Key Highlights:

  • Introduction of The Arc business plan to drive competitiveness and profitability.
  • Focus on enhanced product portfolio and accelerated electrification.
  • Strategic regional growth initiatives and EV transition preparations.
  • Plans to launch 30 new models within three years, including 16 electrified vehicles.
  • Enhancement of EV competitiveness through new development, manufacturing approaches, and battery innovations.
  • Strategic partnerships to maintain a competitive edge and expand the product and technology portfolio.
  • Commitment to financial discipline for resilient and profitable performance.
The Arc: Nissan's Strategic Business Plan Unveiled

The Arc: Bridging Plans and Vision

The Arc serves as a crucial link between Nissan’s current transformation strategy, Nissan NEXT, and its long-term goals outlined in Nissan Ambition 2030. It sets out immediate and mid-long-term objectives, aiming to increase annual sales by 1 million units and achieve an operating profit margin of over 6% by fiscal year 2026.

President and CEO Makoto Uchida emphasized, “This plan will enable us to go further and faster in driving value and competitiveness.”

Regional Strategies and EV Focus

In the Americas, Nissan aims to boost sales significantly, refresh its vehicle lineup, and invest in customer experience enhancements. Similar ambitious goals are set for China, Japan, and other key regions, with a focus on increasing sales, introducing new models, and expanding into electric vehicles (EVs).

Enhancing EV Competitiveness

Nissan plans to launch 34 electrified models by 2030, aiming for EVs to constitute 40% of its global sales by 2026. Innovative manufacturing approaches and battery technologies are expected to reduce EV costs by 30% compared to the Ariya crossover, with a goal of achieving cost parity with internal combustion engine models by 2030.

Strategic Partnerships and Financial Goals

Through strategic partnerships and a disciplined financial approach, Nissan intends to invest significantly in battery capacity and electrification, maintaining a robust net cash position and ensuring positive free cash flow and a total shareholder return of more than 30%.

Under The Arc plan, Nissan is poised to strengthen its market competitiveness and ensure sustainable growth and profitability. “Nissan is confident that it has what it takes to properly execute this plan,” added Uchida, highlighting the company’s commitment to its future vision.

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