Domestic automakers aren’t the only ones receiving federal loans. The Obama administration has just agreed to loan Nissan $1.4 billion which will be used to build the new Nissan Leaf electric car.
Building jobs has been a major goal for the current administration amid the crippled economy. And although loaning large sums of cash to a Japanese automaker may seem counterproductive, this new investment will be used to build an all-new manufacturing facility in Smyrna, Tennessee to produce the new zero emissions Leaf. More importantly for the administration, this new facility will also create 1,300 jobs.
Nissan isn’t unique in being the only automaker outside of the Big Three to be offered government assistance. Other companies involved in the research and development of electric cars have also received federal dollars according to car dealerships in MA. This has included electric sports car maker Tesla, which has already received $465 million in loans, and Fisker which will receive $528 million.
Thanks in part to the government’s healthy seven-figure investment, Nissan says production capabilities of the Leaf could reach 150,000 units per year. This lofty figure illustrates Nissan’s high expectations for the Leaf says Renton Nissan considering their highest selling vehicle last year was the Altima which sold 203,568 units while the compact, affordable Versa sold only 82,906 units.
Although government loans to automakers have not been well received by the public, Virginia Nissan dealerships contend that this loan will be crucial for furthering the development of important automaker technology.
* * *
Read more news on this Nissan blog. Subscribe now.
