Mazda Invests Almost $11 Billion to Speed Up EV Sales to 40% by 2030

Many automakers are ramping up their Electric Vehicle (EV) production, and many have been successful. However, one brand that is falling behind is Mazda, and the Japanese automaker is now about to turn things around in its favor.

Mazda has recently received criticism over its EV rollout and is planning to invest almost $11 billion to achieve up to 40% sales by 2030, according to Electrek.

The Plan

According to the automaker, they will search for partners to help them achieve their goals. The new management plan involves a few key initiatives-one is to achieve carbon neutrality by 2050 with a new interim target of making their factories more carbon neutral worldwide by 2035. Next, the automaker has laid out a three-phase approach to help them catch up with the EV race.

Mazda's Three-Phase Approach

The company's three-phase approach is:

• First phase: Use their existing technology to produce appealing products.
• Second phase: Launch a new hybrid in China.
• Third phase: Promote battery EVs and consider investing in battery production.

It can be recalled that the company started the production of its first 100 percent EV, the MX-30, in 2020 but hasn't made much progress since then. Initially, the EV was launched in the European market, and after its launch in the US, Many were excited, but it quickly dissipated because of its starting price of over $33,000 with only a hundred miles of range.

Additionally, Mazda confirmed that their first EV model was sold out in the US and hasn't commented on whether a 2023 model is being developed.

Can Mazda Still Keep Up?

Among the more than twenty automakers who have plans to launch EVs in the US, Mazda has a hard time keeping up with its competitors.

A few other automakers have been successful in the EV race; Tesla, for example, has produced tens of thousands of Model 3, and the automaker plans to build its first million-unit car by 2023. Other automakers, such as General Motors, are also ramping up their EV production. Long story short, the company will likely have to change the way they do business, and it will likely be forced to seek other partners to help them achieve its goals.

The company's plan is impressive, but it will be difficult for them to achieve its 2030 goal as the current technology isn't far enough to match the company's goals. To help achieve its 2030 goal, the company is willing to consider investing in battery production if that's what it takes to succeed in the EV race.

To date, Mazda has sold roughly 50,000 EVs, and the MX-30 produced in 2020 is one of the automaker's most successful EVs.

Written by April Fowell

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