Nissan Explores Hybrid and CNG Options in India, No Immediate Launch Plans

NEWSINVESTMENT

10/6/20241 min read

Nissan, the Japanese automaker, is closely examining customer trends in India surrounding hybrid and CNG vehicles but has no immediate plans to launch products using these technologies, according to Frank Torres, President of Nissan India Operations. Torres, who also serves as Divisional Vice-President for Business Transformation in the AMIEO (Africa, Middle East, India, Europe, Oceania) region, discussed these insights following the unveiling of the Nissan Magnite facelift.

While hybrid and CNG vehicles have seen an increase in sales in India, electric vehicle (EV) sales have slowed. Despite this, Torres remains optimistic about the long-term potential of EVs in the Indian market. Nissan has plans to release an affordable EV by 2026, alongside two new internal combustion engine SUVs.

Currently, Nissan sells two models in India: the Magnite and X-trail. From April to August, the company’s total sales dropped by 10% year-on-year to 10,974 units. The Magnite facelift, priced from ₹5.99 lakh (ex-showroom), aims to revitalize Nissan’s presence in the market.

Regarding the Indian government’s goal for EVs to make up 25% of car sales by 2030, Torres described it as "aggressive" but believes India’s shift to EVs will likely happen faster than in Europe, where similar transitions took over 15 years. He also acknowledged the influence of India’s Corporate Average Fuel Efficiency (CAFE) norms, which aim to reduce carbon emissions and fossil fuel dependency.

While the company is considering various powertrains, Torres emphasized that any new product launch must align with market readiness and strong export potential. "There have to be enough volumes to justify the scale of investment," he added.