Nissan Loses Money on Every Leaf Battery Replacement

Jason Siu
by Jason Siu

Nissan has admitted that it loses money on every Leaf battery replacement.

Last month, the automaker revealed that a battery replacement for the Leaf electric vehicle would run $5,500 including the old battery pack trade-in, prompting many to believe the Japanese automaker could build batteries for less than $250 per kilowatt-hour.

SEE ALSO: 2013 Nissan Leaf Review

But that’s not the case as the company admits it subsidizes the price of the new battery. Naturally, Nissan wouldn’t reveal how much of the cost is subsidized and how much the company actually loses on each battery replacement, but did iterate that it “makes zero margin on the replacement program,” according to Jeff Kuhlman, Nissan’s vice president of global communications.

The company has yet to sell one battery as part of the program and explained that subsidizing the replacement is a customer-first initiative.

GALLERY: 2013 Nissan Leaf

[Source: Green Car Reports]

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Jason Siu
Jason Siu

Jason Siu began his career in automotive journalism in 2003 with Modified Magazine, a property previously held by VerticalScope. As the West Coast Editor, he played a pivotal role while also extending his expertise to Modified Luxury & Exotics and Modified Mustangs. Beyond his editorial work, Jason authored two notable Cartech books. His tenure at saw him immersed in the daily news cycle, yet his passion for hands-on evaluation led him to focus on testing and product reviews, offering well-rounded recommendations to AutoGuide readers. Currently, as the Content Director for VerticalScope, Jason spearheads the content strategy for an array of online publications, a role that has him at the helm of ensuring quality and consistency across the board.

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