Nissan And Envision AESC Building A Gigafactory In Japan

• by Martin Punter
• August 9, 2021
• 3 min read

Reports state that Nissan and Envision AESC will partner on a new £320 million battery plant in Japan.

This is the second gigafactory the two names will work on

• A Japan-Based Battery Plant
• Another Gigafactory For The Two
• Envision AESC Operate Multiple Sites

A Japan-Based Battery Plant

Nissan is planning on opening a second car battery factory — otherwise known as a ‘gigafactory’ — this time in the east.

The automaker is eyeing Japan as the next home for a new battery plant alongside its partner Envision AESC of China. In terms of location, the new plant is to be built in the Ibaraki prefecture north of Tokyo.

Around 50 billion yen ($456 million/€384 million) will go towards this gigafactory. The factory with an annual production capacity of six gigawatt-hours in 2023 with the potential to boost output to 18 gigawatt-hours after five years.

Power of this kind could generate energy for over 160,000 Nissan Leafs, to put this into perspective.

We assume Envision AESC will operate the plant as Nissan looks on, based on how the two have worked together in the past.

Another Gigafactory For The Two

Nissan sees battery development as a key area, hence why it is seeking the aid of Envision AESC once again. The Japanese automaker actually sold AESC to Envision in 2018, causing it to adopt the AESC part of its name. Nissan still owns a majority stake in AESC (around 20%).

This will be the second gigafactory the two will work on.

As we reported in July, the automaker/battery-specialist will build a battery factory in the UK — in Sunderland, to be specific.

The site will coincide with the automakers existing car factory. It will be larger than this Ibaraki site from an output standpoint.

Nissan’s Sunderland plant is hoping to be a 9 GWh site that will eventually grow into a 35 GWh powerhouse in time. Batteries made at all locations will power the next generation of EVs, including a new E-Crossover built on the all-purpose CMF EV platform.

Envision AESC Operate Multiple Sites Already

Many have sought the help of Envision AESC when it comes to gigafactories, including Renault.

In June, the automaker confirmed reports that it wants to install a plant in French Douai with the busy battery-maker.

According to Renault, this site will have a total capacity of 43 GWh by 2030, slightly higher than the max output of the Sunderland site outlined by Nissan.

Envision AESC actually owns factories worldwide. It owns the factory in Sunderland, one in Japan, and one in the United States.

Its US site current leads (3 GWh) as far as capacity is concerned, followed by its factory in Kanagawa.

Construction of a new plant in Wuxi, China, began in 2019. Annual capacity of this site is expected to reach 20 GWh or enough to power 400,000 electric cars per year.

We expect more automakers to establish their own gigafactories in the coming months/years — what with EVs slowly becoming the status quo. What do you think of Nissan’s Japan factory plans?

Martin Punter

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