Mazda to Invest US$11 Billion in Electromobility

Mazda Motor Corporation announced a US$10.6 billion investment to increase its electromobility capabilities. The Japanese company forecasts that EVs will account for 25-40 percent of its total sales by the start of the next decade. 

The industry is betting on EVs as a more sustainable form of transportation. Mazda is collaborating with its main suppliers, such as Hiroshima Aluminum Industry, Imasen Electric, Ondo Corporation and HIROTEC Corporation, to create a joint venture business to develop the infrastructure necessary for electromobility, said the company. 

"We will promote the full-fledged launch of battery EVs and consider investing in battery production. We estimate Mazda's EV ratio in global sales to rise to a range between 25 percent and 40 percent as of 2030,” said Mazda in a press release.

The automaker had previously focused on improving ICE efficiency and in boosting the use of hybrid vehicles. The company’s adoption of exclusively electric models will go hand in hand with the popularization of this technology. 

Akira Koga, Director and Senior Managing Executive Officer, Mazda Motor, highlighted the company’s “multi-solution approach,” adding that the automaker reached a supply agreement with battery manufacturers Envision AESC from 2025 to 2027, according to Reuters. "Beyond that, we would like to develop a strategy on procurement and securing (batteries) step by step," highlighted Koga.

Mazda Mexico plays a critical role in the global business plans of the company. Mazda’s Salamanca assembly plant manufactures Mazda 2, Mazda 3, Mazda CX-30 and Mazda CX-3. The last vehicle was recently announced alongside a US$60 million investment that aims to produce 15,000 units per year, as reported by MBN. 

Takuji Iwashita, President and CEO, Mazda Mexico Vehicle Operation, highlighted the mission of the company in the country. "We have established our plan for future business development, working hand in hand with manufacturing and sales departments to carry out various co-creation activities and covering other areas of the plant under the concept of One Mazda in Mexico.”

The country’s geographical position and manufacturing capabilities, the USMCA and the nearshoring trends are key to the company, which expects to double its market share in the next five years, according to For Miguel Barbeyto, President, Mazda Mexico. “Despite the current challenges within the automotive sector, Mazda will implement a comprehensive strategy, with a wider variety of products and an aggressive price strategy to grow our dealership network across the country. As we grow in Mexico, we will continue putting our clients at the center of our operations, always looking for their full satisfaction with our brand,” said Barbeyto to MBN.