Tag Archives: Investment

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Leapmotor suspends investments in Poland

Carlos Tavares was looking forward to a very successful future when a few months ago it was confirmed that the first electric cars from the Chinese manufacturer Leapmotor would leave the factory in Tychy. However, before it even started, everything fell apart because Leapmotor decided to stop investing in the factory in Poland.

It’s a project that Leapmotor was supposed to launch with one of the world’s largest automotive conglomerates, Stellantis, but at the end of last month, the Chinese government called on its manufacturers to immediately stop investing in Europe in response to the imposition of tariffs on their products.

Not all EU members were in favor of introducing additional tariffs on Chinese products, such as Germany, Hungary, Malta, Slovenia or Slovakia, but 10 of them stood by the decision that the new tariffs will protect the European market. One of them is Poland, so China started to take revenge.

In the factory in Tychy, semi-finished products are assembled, and the Chinese company has informed the Polish Trade and Investment Agency that, according to the order of the Chinese Ministry of Economy, it is suspending investments in Poland.

The only model that Leapmotor will produce in Poland for now is the T03, and the first cars will leave the production lines in the coming weeks.

Source: Reuters

News

Nissan will launch 30 new models by 2026

Two weeks ago Nissan revealed the new generation of 2+2 sports car, the Nissan GT-R (model code: R35). This is the last edition of this model, which arrived on the market 17 years ago. Now, as part of “The Arc” business plan, Nissan will launch 30 new models over the next two years.

Nissan’s goal is to sell one million cars a year, and that should be helped by 30 new cars, 14 of which will be powered by a gasoline engine. Also, the intention is to reduce the production costs of next-generation electric vehicles by more than 25 percent, in order to cope with the increasing pressure of cars coming from the neighboring country (China).

The new generation will consist of an electric crossover as the successor to the Leaf model, the next-gen Micra based on the R5 platform, the all-electric Juke and the recently introduced Kicks. Also, the arrival of several SUVs, minivans, mid-sized pickups, as well as a number of Infiniti models is expected. It is realistic to expect a new generation of the Patrol model as a rival to the Land Cruiser, a renewed Qashqai for the European market, the upcoming minivan Elgrand for the Japanese market and a new version of the Skyline.

Also, Nissan plans to increase its investment in electric cars by 70% in the coming years, which will cover the entire range of segments with 34 new cars. As a result, 40 percent of Nissan’s fleet will be electric by 2026 and 60 percent by 2030.

Nissan will develop the electric vehicles in groups using modular manufacturing techniques and shorter development cycles with the aim of reducing costs by 30 percent compared to the current model, the Nissan Ariya.

Source: Nissan

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Nissan will launch 30 new models by 2026
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Stellantis plans to invest 5.6 billion euros in South America

As part of the “Dare Forward 2030” strategic plan, Stellantis Group intends to invest over 50 billion euros worldwide in electric vehicles in the next 10 years, with the goal of achieving carbon neutrality by 2038. One of the markets that Stellantis is seriously counting on is South America, where it plans to invest 5.6 billion euros by the end of the decade.

In recent years, China has been a market where many global manufacturers have invested and opened facilities (independently or in partnership with domestic companies) for the production of electric vehicles. However, due to strained relations between Europe and China, regarding state subsidies for electric vehicles exported to Europe, European manufacturers are looking for other places for investment.

Stellanti has chosen South America as one of its most successful markets. This multinational automotive manufacturing corporation holds significant market shares on this continent (23.5 percent), and in Brazil alone they hold almost one third of the market (31.4 percent).

“The planned investments will support the launch of more than 40 new products in that period and the development of new biohybrid technologies, innovative decarbonization technologies in the supply chain of the automotive industry and new strategic business opportunities,” Stellantis announced.

The facility in the Brazilian city of Betim serves as the company’s global hub for bio-hybrid technology that combines electrification with hybrid engines that use biofuels such as ethanol. Expectations are that these technologies will be available by the end of 2024.

It should also be noted that at the end of 2023, Stellantis formed a joint venture with Leapmotor. Stellantis intends to invest €1.5 billion to acquire approximately 20% of Leapmotor. This will be a good financial injection for the Chinese company to improve its sales results in the domestic market but also to expand its business outside of China. The world’s largest conglomerate will have a 51 percent stake and will have the rights to export, sell and manufacture Leapmotor electric vehicles outside of China.

At a press conference in the Chinese city of Hangzhou, Stellantis CEO Carlos Tavares said: “We have not been so successful in China, so we prefer to rely on a Chinese partner. To win in China, it is better to win with a Chinese company.” This is a good strategic move for Stellantis, with which the group resets its strategy focused on electric vehicles after years of bad sales in China.

Source: Stellantis