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Top global automaker Toyota is leading a major Japanese charge calculated to dominate world Electric Vehicles industry.
An indication of the new green push is a statement of Takero Kato, the executive overseeing electric vehicles at Toyota, who keeps repeating: "We love battery EVs," an Associated Press report says.
Kato underscores the significance of this statement by presenting Toyota’s resounding participation in this year's Tokyo Mobility Show, which is underway at the Tokyo Big Sight hall and is set to run until November 5.
The event has electric vehicles taking center stage at virtually every booth, symbolizing a significant shift in the automotive industry's focus.
The Tokyo Mobility Show witnessed the unveiling of cutting-edge electric vehicle concepts from prominent automakers. Mazda Motor Corp. presented a plug-in EV sportscar concept that integrates its iconic rotary engine, while Honda Motor Co. showcased its Prelude sportscar EV concept. Toyota Motor Corp. unveiled the sleek and angular Lexus concept, slated for a 2026 release, powered by lithium-ion batteries. Journalists were given a sneak peek on Wednesday, ahead of the show's public opening this Saturday, according to the news agency.
Notably absent from the Tokyo event are U.S. automakers such as General Motors Co. and Ford Motor Co., who have refrained from participating for several years. This absence reflects the challenge faced by American automakers in penetrating a market where domestic manufacturers continue to exert significant influence, accounting for the lion's share of Japanese auto sales.
Among the international automakers participating in the Tokyo Mobility Show are perennial Japanese favorite Mercedes-Benz and China's BYD, underscoring the global significance of the electric vehicle market.
Takero Kato clarified that his repeated emphasis on Toyota's love for battery EVs was not a sign of insecurity but rather a reflection of the company's commitment to embracing electric vehicle technology. Toyota, a pioneer in hybrid technology exemplified by the Prius, has conceded that it has fallen behind rivals like Tesla and BYD in the development of fully electric vehicles.
Toyota's current electric vehicle offerings include the compact C+pod and the bZ4X, developed in collaboration with subsidiary Subaru. However, Toyota is determined to bridge the gap and catch up with its competitors. The forthcoming Lexus LF-ZC, poised to be Toyota's first serious foray into the electric vehicle segment, will serve as a litmus test for the company's ability to thrive in a sector that, while still a minority in the global automotive market, is rapidly expanding due to concerns such as climate change.
In Japan, electric vehicles account for less than 5% of the auto market, as reported by the International Energy Agency. In contrast, the United States, led by Tesla, sees electric vehicles comprising just under 10% of auto sales, with President Joe Biden advocating for a requirement that at least 54% of new U.S. vehicles sold be electric by 2030. Meanwhile, in China, a third of all vehicles sold are electric.
Last year, Toyota sold fewer than 25,000 electric vehicles globally. However, in the first eight months of this year, it recorded sales of 65,000 electric vehicles, primarily outside of Japan. In a bold move, Toyota has set ambitious sales targets of 1.5 million electric vehicles per year by 2026 and a staggering 3.5 million by 2030, aiming to secure a significant share of the growing electric vehicle market.
The Associated Press report adds:
“We are looking toward an electrified future that we hope to build together with our customers,” Kato said.
Catching up is a challenge but not impossible, said Joshua Cobb, senior automobiles analyst at BMI.
“Over the short term, we see Chinese EVs from brands such as BYD, SAIC-GM-Wuling and Tesla-branded EVs will continue to gain market share as there is little competition at the moment,” he said.
But, Cobb added, “One thing not to underestimate is the strong brand loyalty in Japan.” He said Japanese consumers may hold off on EV purchases until more domestic models hit the market.
Nissan, an early EV maker among the Japanese with its Leaf going on sale in 2010, is showcasing four EV concept cars.
Among them is the Hyper Tourer minivan concept that Nissan says has advanced technologies like autonomous driving. It runs on high-energy-density solid-state batteries.
Senior Vice President Alfonoso Albaisa said Nissan is focusing on virtual reality and other breakthroughs that allow vehicle designers to shorten model development time.
“At Nissan, we have been racing forward with our dramatic digital shift just as other industries, like gaming,” Albaisa said.
Manufacturers are also noting that EV technology is bringing changes for how a vehicle drives.
Batteries and a motor for an EV generally take up less space than a gas combustion engine. That means EVs can have a lower center of gravity while offering more cabin space, making it a nifty powertrain for sportscars, vans, pickups and SUVs.
In Nissan and elsewhere, a key issue for EVs is battery charge time and driving range. While all the world’s major automakers are working to shorten charge time and lengthen cruise time per charge, the U.S. startup Ample has come up with a different solution — battery swapping.
Instead of charging the battery in the car, a module containing the battery is taken out and replaced by a fully charged battery at a drive-in facility built especially for the procedure. The swap, done by robots, takes just five minutes.
The approach is already being used by Uber drivers in the San Francisco area. Ample’s battery-swapping arrives in Japan this winter through a partnership with Mitsubishi Fuso, a Daimler group truck company. The swapping is being demonstrated at Mitsubishi Fuso’s booth.
De Souza said another attraction of battery swapping is its greenness. A battery can be charged flexibly, using renewable energy at times of the day with low demand for power, he said.
“We decided what worked really well about gas is that you stop for a few minutes,” said John de Souza, Ample’s president and founder.