As Nissan celebrates its 40th anniversary in China, the company is on track with a strategic plan that paves the way for its future in the world’s largest automotive market. The plan is based on the growth of two global brands, Nissan and Infiniti, and Venucia, the local brand launched in 2010 by Dongfeng Nissan Passenger Vehicle Company (DFL-PV) under China’s largest automobile joint venture, Dongfeng Motor Co., Ltd. (DFL). At present, all of Nissan’s locally-produced vehicles are manufactured at DFL plants in Huadu (Guangzhou), Xiangyang and Zhengzhou, and in the future, at a new plant in Dalian now under construction. With 40 years of success as its foundation, Nissan continues to thrive in China and remains on course to significantly contribute to Chinese society as it delivers innovative and exciting products to customers.
Speaking with Chinese journalists at Nissan 360, Toshiyuki Shiga, chief operating officer of Nissan Motor Co., Ltd. (NML), said, “China has become not only the largest but also one of the most competitive automobile markets in the world, and it continues to be one of the most important markets for Nissan.”
Takashi Nishibayashi, vice president of NML and president of Nissan (China) Investment Co., Ltd. (NCIC), added, “Coinciding with Nissan’s 80th anniversary, this year marks Nissan’s 40th anniversary in China, the 20th anniversary of Zhengzhou Nissan Automobile Co., Ltd. and the 10th anniversary of Dongfeng Motor Co., Ltd. These all are important milestones for Nissan to become a leading brand in China.”
NML has marked its 80th anniversary with “Nissan 360,” a month-long showcase in California of the latest breakthroughs in vehicle technology, sustainability and market expansion by one of the world’s leading automakers. The program highlights the latest models and engineering innovations in a series of briefings and test-drive opportunities.
Introducing global models; growing a local brand in China
Nissan has been operating in China since the introduction of the Cedric there in 1973. Through the last 40 years, Nissan has continued to grow and deliver mobility solutions that improve the lives of people. Nissan began working with more local partners starting in the 1990s, accelerating the company’s growth. Zhengzhou Nissan Automobile Co., Ltd. (ZNA) was established in 1993 and began building a number of key vehicles, becoming an important manufacturing base for Nissan’s light commercial vehicles.
In 2003, NML and Dongfeng Motor Corporation founded Dongfeng Motor Co., Ltd. (DFL), China’s largest automobile joint venture, under which Dongfeng Nissan Passenger Vehicle Company (DFL-PV) was also established to operate the passenger vehicle business. In 2004, NCIC was established as Nissan’s wholly-owned subsidiary in China to manage Nissan’s investment in China together with NML.
In 2007, Infiniti, the global luxury brand, was launched in China. Currently, not only has a deeper Infiniti lineup been introduced, but preparation to localize Infiniti production is also underway.
Currently, the Chinese market accounts for one quarter of Nissan’s sales worldwide. In 2012, Nissan sold 1.18 million vehicles in China, including imported cars, passenger vehicles and light commercial vehicles. For 2013, Nissan expects to sell 1.25 million units.
Design, R&D capabilities extend Nissan’s presence in China
As part of its commitment to China and to further localize various aspects of developing automobiles, Nissan continues to improve and expand both its design and research & development (R&D) capabilities in China. Upon opening Nissan Design China in Beijing in 2011, the design center became part of Nissan’s elite roster of global design hubs. DFL has now established Nissan’s fourth global technology center in Huadu, which is also southern China’s largest.
Contributing to Chinese society
Nissan values the opportunities which have surfaced with the rapid growth of the Chinese auto market and strives to contribute to the further development of the market. Nissan has continued to introduce advanced technology to China through key models, such as Teana, Sylphy, Tiida, Sunny, Livina and Qashqai, while supporting the development of the joint-venture brand, Venucia, which has successfully launched two models, D50 and R50.
Nissan also understands the need to improve air quality in China, and that automakers play an important part in this. To tackle this issue, Nissan has introduced its Pure Drive technologies to the market, including fuel-efficient cars equipped with continuously variable transmissions (CVT). Furthermore, Nissan actively participates in related research with the government. Venucia also shares Nissan’s commitment to developing zero emission vehicles and plans to produce electric vehicles for the Chinese market by 2015.
The Huadu-based DFL-PV, one of the leading enterprises across the Pearl River Delta, has contributed to the local economy by providing more employment opportunities as well as through the formation and development of a local automotive value chain.
Additionally, ZNA has positively echoed the government’s plan to develop the automobile industry within the Central Plains Economic Zone, promoted computerization alongside industrialization, and introduced new and innovative technologies. ZNA has also become the main base of Nissan’s light commercial vehicles in China.
Over the past 40 years, Nissan has made some significant advances in the Chinese market. Moving forward, Nissan, together with all of its partners in China, will continue in its efforts to actively pursue further localization and innovation, and develop models for Chinese consumers incorporating Nissan’s advanced technologies.
Nissan is poised for further growth in China.
Timeline of Nissan’s Development in China:
- January 1973The first Nissan Cedric arrives in China
- March 1993Zhengzhou Nissan Automobile Co., Ltd. is established
- June 1994Nissan Motor (China) Co., Ltd. is created to focus on the import car business
- June 2003Nissan and Dongfeng Motor Corporation jointly establish Dongfeng Motor Co., Ltd. Dongfeng Nissan Passenger Vehicle Company is established by DFL to manage the passenger car business for the Nissan brand
- February 2004Nissan (China) Investment Co. Ltd., Nissan’s wholly owned subsidiary in China, is founded in Beijing as Nissan’s regional headquarters in China
- May 2005Nissan (China) Investment Co., Ltd. Guangzhou branch opens
- June 2005Nissan (China) Investment Co., Ltd. Shanghai branch is established
- January 2006Nissan (China) Investment Co., Ltd. starts parts exports to overseas Nissan production bases
- July 2007Infiniti begins sales in China
- October 2007Dongfeng Nissan Auto Finance Co. Ltd. is founded in Shanghai
- September 2010Venucia brand launches
- March 2011Nissan Design China officially starts operations in Beijing
- April 2012Nissan announces plans to produce Infiniti models in China starting in 2014
- May 2012Infiniti moves global headquarters to Hong Kong
- June 2012DFL announces plans to build an all-new manufacturing facility in Dalian in 2015
