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For over ten years, the Automotive Energy Supply Corporation (AESC) has issued the batteries for the Nissan Leaf, America’s first cost-efficient and largely produced electric vehicle (EV), according to Automotive News.
Nissan is set to switch suppliers for its next generation of U.S.-manufactured EVs, with production initiating in 2028, Yahoo News said.
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Nissan Motor Corp. intends to start production of four EV models at its Canton, Miss., factory that manufactures the Frontier pickup and Altima sedan, Automotive News said.
Nissan, SK On, and AESC have declined to comment on the matter.
Furthermore, Nissan’s possible merger with Honda is hanging over any battery supply arrangement.
EVs that have battery components or critical minerals that originated from a foreign entity of concern are not eligible for the tax credit, this went into effect in 2024 for components as well as in 2025 for critical minerals, according to Automotive News.
Nissan's separation from AESC comes after the conclusion of Leaf production in the U.S. last year. A new crossover coupe-style vehicle will be built overseas and is set to arrive in late 2025.
Nissan has informed retailers that the new model's battery will provide 25 percent more range than the previous Leaf, Yahoo News said.
Nissan and AESC are ending their long-standing partnership in the United States.
SK On and AESC are competing fiercely to dominate the North American EV battery production market. AESC has announced significant investments to supply BMW and Mercedes with batteries for their assembly plants in the southeastern U.S., according to Automotive News.
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