Although Tesla dominates the Western electric vehicle (EV) market, Kavan Choksi shares that it has recently entered the Asian countries. The company opened a Gigafactory in Shanghai in 2020. Unfortunately, the Asian community might not quickly accept Tesla EVs for steep price tags. Remember: the greenback’s stronger than most Eastern currencies.
Of course, this isn’t to say that there’s no demand for EVs in Asia. Japan, China, and South Korea, the largest automotive manufacturers, have made significant progress in developing more accessible EVs.
Each country has its respective strength, but Japan currently leads the market for its technology, production capacity, and market size. Some Japanese car companies that have made headlines recently include:
Nissan
Nissan introduced the 2nd generation Leaf, its best-selling EV, in 2017 with an affordable price tag of under $30,000. It costs half as much as a base model Tesla. Buyers who want a reliable EV without breaking the bank typically go for the Nissan Leaf.
However, Nissan plans on surpassing Tesla in sales. Kavan Choksi shares that Nissan partnered with NASA to address Tesla’s biggest weakness: its slow-charging lithium-ion batteries. An entire cycle takes 12 hours. On the contrary, Nissan’s proposed all-solid-state battery will only need 15 to 20 minutes to recharge.
Toyota
Toyota unveiled bZ4X, the company’s first mass-produced EV, last April. The first batch will hit the market this May.
Unfortunately, both the bZ4X and Tesla Model 3 come with a relatively steep price tag of around $50,000. However, you’ll still save a lot in maintenance.
Tesla replacement parts cost a fortune, plus they take weeks to ship from overseas. Alternatively, Toyota has thousands of service centers in Japan. You can expect cheaper maintenance and repair fees since Toyota doesn’t have to import anything.
Bottom Line
Will Japanese automotive manufacturers outperform Tesla? Probably not in its homecourt, but Kavan Choksi believes that widely known brands like Nissan, Toyota, and Honda have the upper hand in the Asian market.
Again, most consumers prefer practicality and accessibility over luxury. And since manufacturing and distributing vehicles within nearby territories cost less than intercontinental exportation, Japanese EVs will likely come with much lower price tags.
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