TOKYO (AP) – Nissan on Wednesday unveiled an electric crossover vehicle, the Japanese car manufacturer’s first new primary style since involving the scandal surrounding its former president, Carlos Ghosn.
At its global premiere in Yokohama, Japan, the new vehicle, “Ariya” was billed as “a new chapter for Nissan.” The event was held online because of the coronavirus pandemic.
“I can tell you this is a no-compromise car,” Nissan Chief Executive Makoto Uchida said, stressing the Ariya symbolizes the company turning a new leaf in its business, culture and products.
“You have to drive it to feel it,” said Uchida.
The Ariya is set to go on sale in Japan by the middle of next year, and in Europe, North America and China by the end of 2021.
It will cost about 5 million yen ($46,000) and will be competing against the Tesla Model Y, which now sells for between $43,690 and $53,690 in the U.S., including incentives and other cost-savings of $6,300. In the U.S., the Ariya will qualify for a $7,500 federal tax credit.
The Ariya comes with a self-driving operation, so you will park alone and avoid nearby collisions, connect to the network and offer concierge services. It also has features related to electric cars, such as rapid acceleration and a spacious interior.
The crossover combines the muscle of a gaming application vehicle with the convenience of a car and is a category that sells well even though the pandemic is reducing automotive demand worldwide.
Crossover vehicles have accounted for more than 40% of recent U.S. auto sales.
Koji Endo, an auto analyst at SBI Securities, said the big test still lies ahead, because buyers are looking for various features, such as driving performance, resale value and how easy the vehicle will be to recharge.
“But it’s transparent that this is Nissan’s ability to mend its completely devastated logo image,” Endo said in a phone interview.
He believes that Tesla enthusiasts have a tendency to be so unwavering that Ariya would possibly not attract them, but that could attract new buyers.
“Expectations cannot be higher for Nissan. If you can’t solve it, you have serious problems,” Endo said.
Nissan’s profits fell to a loss of 671.2 billion yen, or $6.2 billion, for the year ended in March, its first red ink in years.
The Ariya is one of the highlights of Nissan’s recent news, ruled through the dramatic Ghosn saga with the law and its escape to Lebanon last year.
Chief Operating Officer Ashwani Gupta called it “a catalyst for change” at Nissan.
More people see charging a car as everyday, like charging a mobile phone, and so range is becoming less of a concern, he told reporters.
The Ariya’s driving range on a single charge will be between 430 kilometers (267 miles) and 610 kms (379 miles), depending on the type of battery and whether the model has a two-wheel or four-wheel drive.
The shift to electricity is increasingly adjusted as others become increasingly involved in global warming, the environment and sustainability. Electric cars can offload subsidies from governments, adding the two largest markets to China and the United States, as well as European countries such as Norway.
Uncertainty remains about how Nissan will fare without Ghosn, who has led its movement toward electric cars while leading the car manufacturer for nearly two decades.
Ghosn was arrested in Tokyo in late 2018 and charged with failing to report long-term payment and abuse of trust. Ghosn says he is innocent, claiming that the fees were invented to expel him from Nissan’s administration. The Japanese government is now looking for the United States to extradite two Americans suspected of helping him escape while on bail.
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Yuri Kageyama is on Twitter https://twitter.com/yurikageyama