Nissan takes cue from Tesla for cheaper EV. Why should it matter to you?

The electric car race is fast evolving from a game all about batteries and range to one about affordability. The enthusiastic early adopters have made their purchases and for else, it may well be about how much an electric vehicle (EV) costs. Nissan has taken a cue from Tesla in this regard and is eying electric cars that will cost less to manufacture than these do today.

Gigacasting has been the buzz word at Tesla for long and is the brainchild of CEO Elon Musk. The process involves molten metal being injected into moulds at high pressure and subsequently cooled, removed and altered as needed to manufacture aluminium body parts. Tesla has been doing this for years and now Nissan Motor Co. wants to as well.

According to a Bloomberg report, the Japanese car maker plans to make use of this process to build rear floors of its EVs that will be sold in global markets from 2027 onwards. According to an official statement from Nissan, it expects manufacturing costs to come down by around 10 per cent which will help it with its goal of bringing price parity between electric and non-electric cars.

Why should gigacasting matter to you?

If you are out and about for an electric car but an expensive price sticker is a deterrent, gigacasting has the potential to bring down manufacturing costs and thereby having a positive impact on the final price of an EV. While Tesla has been at it for years, even Toyota has also confirmed that it will make use of the process. And now, it is Nissan's turn to go down this path.

Here in India, Nissan and Toyota have not yet brought in their EVs. But it may just be a matter of time. An ‘affordable’ EV may have a massive role to play in how quickly such vehicles are lapped up by customers in markets across the world. And with cost equations emerging more significant than any other single factor for EV buying, a lower cost of manufacturing - for example, battery component localisation and gigacasting, hold enormous potential in ensuring that your next EV doesn't hit your bank balance hard.