Nissan aims to cut the cost of the Leaf’s lithium-ion battery pack

Article by Christian Andrei, on August 26, 2010

For the Leaf electric car to make a profit, Nissan Motor Co. aims to reduce the cost of its lithium-ion battery pack to less than $370 per kilowatt-hour. This aim is comparable with the Japanese government's estimate of about 150,000 yen ($1,600) per kilowatt-hour for the industry.

In an interview with Masahiko Otsuka, president of Automotive Energy Supply Corp. (a joint venture between Nissan, NEC Corp. and NEC Tokin Corp. that makes the battery for Nissan), the target is actually "a lot tougher" than $370.

At the AESC's headquarters in Zama City, west of Tokyo, Otsuka told reporters that the pricing will rely on factors, which include the scale of production and resale value for recycling. However, Otsuka chose not to provide a time frame for the target.

The lithium-ion battery, which stores 24 kilowatt-hours of energy, is the most expensive component of the Leaf. The Leaf, which will go on sale this year, is priced at $32,780 in the US and 3.76 million yen in Japan before accounting for the government incentives.

Nissan, which doesn't offer a mass-market gasoline-electric hybrid car, is presenting the Leaf in order to comply with government emissions rules and in response to potentially higher oil prices.

Takeshi Miyao, an analyst in Tokyo at auto consulting company Carnorama, said that Nissan's battery is currently priced at about 1.05 million yen, or $472 per kilowatt-hour.

Miyao added that the other components cost about 1.4 million yen and that to secure a profit, labor and other indirect costs would have to be contained to 35% of the sticker price. [via autonews - sub. required]

Topics: nissan, electric car

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Volkswagen Group’s dieselgate saga continues, but it appears the German company would be able to get out of trouble, but it would not be unscathed. This development comes as Volkswagen...
by - January 22, 2017
When a car has been in the market for nearly six years, it loses some of its luster and its customers tend to go for the all-new model with a...
by - January 22, 2017
Remember Zenos Cars, a British carmaker that specializes in designing and building lightweight and high-performance sports cars? If you are wondering how the company is faring with their E10 lightweight...
by - January 21, 2017
Mercedes-Benz has revealed that in 2017, its series 124 coupé will be celebrating its 30th anniversary. While this itself is a significant event, it will also mean that this model...
by - January 21, 2017
BMW’s 550i xDrive has long been considered as one of the most successful business sedans in the world. For the brand, this may not be enough as it has officially...
by - January 20, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries