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Nissan is the latest victim of BYD’s “liberation battle” against gas-powered cars. After BYD’s aggressive price cuts this year, Nissan is shutting down a factory in China as it struggles to keep up.

As is the case for many legacy automakers, China is a critical sales market for Nissan. Nearly a third of Nissan’s global sales and net profits are from China.

After slipping out of the top five automakers (by market share) in China in 2022, Nissan’s woes are worsening. Nissan’s sales fell 16% in China last year and the trend has continued into 2024.

Nissan’s sales fell another 2.8% last month, with 64,233 vehicles sold in China. The company cut guidance by 23% last year, with 800,000 vehicle sales expected in fiscal 2024. According to Nikkei, Nissan will do so with one less factory.

Nissan is closing the doors to its plant in Changzhou as the factory is building more cars than it can sell.

The facility accounts for about 8% of Nissan’s production capacity in China, with an annual capacity of around 130,000 units. According to the report, the plant shuts down on Friday.

Nissan-BYD's-EV
Nissan Ariya electric SUV (Source: Nissan)

Under its joint venture with China’s Dongfeng Motor, Nissan has eight plants in the region. Its total annual capacity is around 1.6 million, double Nissan’s projected sales figures for fiscal 2024.

Nissan shuts down China plant amid BYD’s EV price war

The plant shutdown comes as Nissan struggles to keep up in an increasingly competitive China EV market.

China’s largest automaker, BYD, kicked off a “liberation battle” against ICE vehicles earlier this year. The goal is to continue taking market share from gas-powered cars with lower-priced EVs. So far, it seems to be working.

Nissan-BYD's-EVs
BYD (Dolphin Mini) Seagull EV (Source: Nissan)

BYD has drastically cut prices while introducing lower-priced EV models. Its cheapest, the Seagull EV, starts under $10,000 (69,800 yuan).

BYD’s CEO, Wang Chaunfu, said EVs have entered “the knockout round” and that the next two years will be critical for automakers to catch up.

With lower-priced, more advanced models hitting the market, BYD sees joint venture brands (like Nissan’s) market share falling from around 40% to 10% in China.

Nissan isn’t the only legacy automaker feeling the heat. Japanese rivals Toyota, Mitsubishi, and Honda have also pulled back in China amid slumping sales.

Nissan-BYD's-EV
Nissan EV concepts (Source: Nissan)

Meanwhile, BYD looks to expand its global footprint after outgrowing China’s EV market. BYD is closing in on a deal for a plant in Mexico that would be among the biggest in the country. The company expects to sell 50,000 vehicles in Mexico this year.

BYD is also expanding on Nissan and Toyota’s home turf. According to data from the Japan Automobile Importers Association, BYD accounted for over 20% of Japan’s EV imports in January.

With longer-range, lower-priced models rolling out, BYD’s momentum is expected to continue. China’s leading automaker is also expanding into new segments like pickups (check out the new Shark PHEV), mid-size electric SUVs, and luxury.

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Tesla has yet to start testing its robotaxi service without driver weeks before launch

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Tesla has yet to start testing its robotaxi service without driver weeks before launch

Tesla has reportedly yet to start testing its robotaxi service in Austin without a safety driver behind the wheel – just weeks before the planned launch.

For months now, Tesla and CEO Elon Musk have been hyping the launch of “Tesla Robotaxi”, a Uber-like ride-hailing service powered by autonomous Tesla vehicles, starting with a launch in Austin, Texas in June.

We have extensively reported that this launch is disappointing compared to what Tesla promised for years: that all its consumer vehicles built since 2016 are capable of self-driving.

Instead, Tesla plans to build an internal fleet of “10-20” Model Ys and have them offer ride-hailing services in a geo-fenced area around Austin, Texas, helped by human teleoperations. This is very similar to what Waymo has been offering in other cities for years, specifically in Austin, for months now.

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Even with the significant downgrade in self-driving capabilities promised with this project, there are many doubts about Tesla’s ability to achieve the lesser goal.

That’s because the robotaxi service will be based on Tesla’s ‘Supervised Full Self-Driving’ program, which is currently achieving about 500 miles between critical disengagements fleet-wide, according to the latest crowdsourced data.

Tesla will be able to improve on that by optimizing a version for the geo-fenced area in Austin and it has been training its neural nets for that for months with vehicles going around Austin.

However, a new report now claims that Tesla has yet to start testing its service without safety drivers at the wheel – similar to Tesla’s public ‘Supervised FSD’. The Information wrote in a new report:

Elon Musk’s deadline for launching Tesla’s first robotaxi service, in Austin, Texas, is weeks away, but the company hadn’t started testing its cars without a human safety driver as of last month, according to an engineer close to the testing and a former employee. That’s a crucial step required before Tesla can launch the pilot service for customers.

For comparison, before launching its paid ride service in Austin, Waymo tested its vehicles with safety drivers in the area for 6 months and then without safety drivers for another 6 months.

Waymo has now taken over a significant market share of ride-hailing rides in the Texas capital, but it still has limitations; for example, it doesn’t drive on the interstate.

The report also mentions that Tesla has been working with local emergency services in Austin to develop intervention plans in order to avoid causing issues if its autonomous vehicles fail.

Electrek’s Take

This is the biggest softball goal. It’s a fraction of what was promised, it’s something that others have achieved before. It’s a punt created for Tesla to finally get a “win” in self-driving.

If they can’t even make it, it would be disastrous, but at least, I hope that it will finally open the eyes of many Tesla shareholders to the reality that Tesla is actually behind in autonomous driving and that Musk’s latest claims that Tesla will have “millions of robotaxi on the road” in 2026 are just the same as when he claimed it would happen in 2025, 2024, 2023, 2022, 2021, 2020, and 2019: corporate puffery.

My main concern now is for public safety. I have little hope of US regulators being able to stop Tesla considering Trump is firing anyone who got in Musk’s way after he gave him over $250 million.

If Tesla brings its cowboy approach to this, it could get bad quickly.

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Rivian CEO RJ Scaringe shares more detailed images of the R2’s Maximus drive unit

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Rivian CEO RJ Scaringe shares more detailed images of the R2's Maximus drive unit

The development of Rivian’s R2 validation builds continues to progress. We know so because the American automaker’s founder and CEO, RJ Scaringe, continues to pepper us with welcome updates with plenty of fantastic images. The latest post features the inner workings of Rivian’s Maximus drive unit, which will propel the upcoming R2 EVs when they hit the market next year.

Another day, another exciting social media update from RJ Scaringe. Nine days ago, the Rivian CEO shared a peek at the company’s new Maximus drive unit, designed to be more compact and efficiently built to help reduce cost-per-unit production.

Our only look was from outside the drive unit’s casing at the time, but it was exciting news nonetheless. As an encore, Scaringe posted photos of the R2 validation builds on a pilot line at the automaker’s facility in Normal, Illinois.

This evening, Scaringe took to Instagram and X once again to share a better look at the inner workings of the Rivian Maximus drive unit. Check it out:

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Rivian Maximus
Source: @RJScaringe/X

RJ shares more images of Rivian’s Maximus development

Rivian’s CEO posted the three images above, which showcase some interesting perspectives of the developing drive unit. As previously shared by Rivian, Maximus uses a new continuous winding technique that reduces the total welds per stator and thus the total overall cost of building each one.

For comparison, Rivian’s current Enduro drive unit requires 264 stator welds, while Maximus only needs 24. You can see the stator windings in the image above to the left. Scaringe shared excitement in the progress of the Rivian team’s Maximus drive unit as well as some insight in his post:

I love the packaging on Maximus — the drive unit for R2. It has a side mounted inverter that utilizes flat area at the end of the motor to minimize the length of bus bars, keeping them light and efficient. The large planar shape also allows all processing and power electronics to exist on a single printed circuit board.

The inverter chassis closes out the oil cooled motor cavity and seamlessly routes coolant from the power modules to the drive unit’s heat exchanger with no extra parts.

Overall, the inverter part count is reduced by 41% relative to Enduro and structural inverter lid saves more parts and fasteners by also serving as the drive unit mount. I love this design efficiency. (heart emoji)

Looks fantastic, RJ. We can’t wait to see the visual progress of the R2 you share next!

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EV sales are up, Tesla sales are down, and new electric Toyota goodness

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EV sales are up, Tesla sales are down, and new electric Toyota goodness

On today’s thrilling episode of Quick Charge, we’ve a huge spike in global EV sales and a huge dip in Tesla deliveries. Plus a whole bunch of news from Toyota, including an updated bZ that’s just a bit better than before … but is a bit better going to make a big difference?

We’re also on track for more than 1 in 4 new cars sold this year to be electric, with a whole lot more hybrids coming in to make up the difference and drive fuel demand down to a new yearly low. All this, plus the top 5 cheapest EVs to insure when you hit the play button.

Prefer listening to your podcasts? Audio-only versions of Quick Charge are now available on Apple PodcastsSpotifyTuneIn, and our RSS feed for Overcast and other podcast players.

New episodes of Quick Charge are recorded, usually, Monday through Thursday (and sometimes Sunday). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.

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Drop us a line at tips@electrek.co. You can also rate us on Apple Podcasts and Spotify, or recommend us in Overcast to help more people discover the show.


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