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Nissan CEO Makoto Uchida rules out closer capital ties with Renault

YOKOHAMA — Nissan is committed to its automaking alliance with Renault but will not look to deepen its capital ties with the French automaker any time soon, its new CEO said on Monday. On his first day in the new position, chief executive Makoto Uchida also pledged to repair profitability at Japan's No. 2 automaker and said setting realistic targets would be key toward that goal, as it tries to make a clean break from the leadership of former chairman Carlos Ghosn. "Closer capital ties with Renault are not a focus in the short term," he told reporters. Uchida became CEO of Nissan on Dec. 1, as the car maker tries to recover from a profit slump and draw a line under a year of turmoil after the Ghosn scandal. The ousted chairman is fighting financial misconduct charges in Japan. One of the new CEO's big tasks is to salvage ties with Renault, which have deteriorated since Ghosn's ouster as chairman of both companies. Renault holds a 43.4% stake in Nissan after it saved the Japanese automaker from financial ruin two decades ago, and has pushed for the two companies to merge. In rejecting a notion of a merger with Renault, Uchida, 53, echoes his predecessor Hiroto Saikawa, who stepped down in September. He added that the alliance must re-think how it can serve all of its three members, which also includes Mitsubishi Motors. "The alliance has to benefit each of its partners in terms of revenue and profit," he said. "We need to re-evaluate what has worked and what hasn't worked in the alliance in the past few years." The CEO called for Nissan to set "challenging but achievable" targets, adding that this and the launch of more new car models and vehicle technologies would be key to its financial recovery. Nissan is bracing for its lowest annual profit in 11 years and has slashed its dividend by 65%. Its struggles come at a time when car companies desperately need scale to keep up with sweeping technological changes like electric vehicles and ride-hailing. "Somewhere along the way we created a culture of setting targets which could not be achieved," Uchida said, adding that this had resulted in a focus on short-term results. "Years of this had led Nissan to its current "difficult situation," he said, using heavy vehicle discounting in the U.S. market as an example of how aggressive sales targets to grow market share had deteriorated the company's brand.

World's cheapest Nissan Leaf costs just $9,460

If you thought electric vehicles were expensive, head on over to Rotterdam in the Netherlands. There, you can buy a Nissan Leaf for the amazingly low price of just 7,450 euros ($9,460 US). Or, if a practical delivery van is more your style, check out the Nissan e-NV200 Visia Flex, which is absurdly priced at 4,950 euros ($6,400). Now, you might be thinking, those prices don't seem right, and this isn't a case of Nissan slashing the price like someone in I Know What You Did Last Summer. Instead, these deals are already and unsurprisingly being called the "world's best EV incentives." The great deals - available to businesses only – are due to generous national and local government incentives that are designed to take dirty vehicles off the road. Things like scrappage incentives (worth 2,500 euros, or $3,240) and free parking for EVs as well as home charger incentives stack up until they bring the price of a new EV down to the levels listed above. Jordi Vila, the managing director for Nissan Netherlands, told Automotive World that, "By scrapping older vehicles and incentivising buyers to replace them with zero-emission electric vehicles, Rotterdam is taking a huge step in improving air quality." As great as these deals are, it turns out that most car buyers are unaware of EV incentives. This is too bad, since there is a short but interesting history of tremendous deals on plug-in vehicles, like the $10,000 discount on the Mitsubishi i-MiEV (or the $69/month lease on that thing). For pure "dollars off" value, though, nothing beats the $30,000 in total incentives that maybe be available in some Japanese prefectures for hydrogen vehicles, which might expand all the way to free H2 cars.

Nissan X-Trail Takata inflator rupture causes fire in Japan [UPDATE]

UPDATE: Autoblog has received Nissan's official statement about the Takata inflator rupture in Japan. It confirms the details of the case, but contradicts one part of the original story. Nissan says that the vehicle's owner was notified about the recall, but the X-Trail wasn't repaired. We've updated the story to reflect this, and the full statement is embedded below. Nissan is the latest automaker to be directly affected by faulty Takata airbags in its vehicles. In this case, a 2001 X-Trail crossover in Japan caught fire after an accident when its passenger side inflator ruptured, shot out hot shrapnel, and caused the dashboard to ignite. The driver suffered light burns to the cheek during the crash, according to Reuters. Nissan has covered this model of X-Trail under its Takata recall in Japan since April 2013, but a company spokesperson told Reuters that the driver didn't receive the notice. The inflator in the crossover was made at Takata's factory in Moses Lake, WA. This was Nissan's first case in Japan of one of these parts rupturing. While a root cause isn't known, the problem with these components is believed to come from moisture getting into the inflator and causing the propellant to ignite too quickly. The Takata airbag recall has affected millions of vehicles worldwide and has been linked to eight deaths worldwide. In May, Nissan added 1.56 million of its models globally to replace the parts. Subsequently, the company added thousands more for the passenger side in the US and Canada. According to Reuters, the company has called in 813,000 vehicles in Japan, and 85 percent of them have been repaired there. The repair rate in the US has been far lower, though. Takata is producing around a million repair kits a month, but there are 34 million affected vehicles here from 11 automakers. According to a Congressional hearing in early June, it could be years before the whole problem is properly sorted out. Related Video: Nissan Statement Nissan is aware of a June 25 2015 incident in Japan involving improper deployment of a passenger side air bag in a 2001 Nissan X-Trail. The driver of the vehicle reported minor injuries. This vehicle was already subject to a Takata recall and owner notification was made. However, for unknown reasons, the vehicle has not been remedied. Relevant authorities have been notified. This incident is subject to an ongoing investigation and no further information will be available at this time.