Nissan Motor Company has expressed their serious concerns on the possible incentive cuts expected in different countries of Europe in the coming period. The representative of this Japanese Car Company in Europe yesterday announced the views of the company over the three year incentive cut phase proposal of Government. The more worried thing according to the company is the pricing of one of the most popular electric car model of the Company, Leaf.
“The moment the Government will begin to cut off the sales subsidy provision on electric cars, the phase out for the pricing of the cars is definitely expected. We are therefore trying to minimize the production cost in any of the other ways, but still it seems that the cut-offs will definitely raise the prices and would affect the savings of the car lovers”, said the Vice Chairman of Nissan Simon Thomas. “I hope that they will not cut it off totally but will pair back but still we have no rights to suggest them as we are right now having just three years agreement with them and in some of the countries of Europe we even have no formal agreements”, he added.Image via Wikipedia
The Nissan Leaf is strongly relied on these exemptions as they are facing stiff competition with Toyota Motor Company and Honda Motor Company. The company is jumping in the business in Portugal and Netherlands in December. This will be the debut for Nissan in Europe for the electric cars industries which have to fight with some of the popular gasoline engined cars. The electric cars will also be launched in UK just after two months of these countries. The Company is making cautious steps by seeing the challenge of incentive cuts.
The origin of the issue
The issue has been raised as the Governments in Europe are planning to pull back the subsidies and these changes are pressurized on them by the current financial scenario which makes them forced to save Government spending and to enhance the revenues. Many of the European Countries like Greece, UK have already proposed the cuts in many of the fields including sales subsidies.
Nissan is in the preparation of creating the batteries that can save lots of money of the owners and are planning to launch them earliest in the European markets as well.