iBestTravel’s Strategic Plans for the Future of Vehicles
iBestTravel has bold plans for the next six years, focusing on the introduction of new battery electric vehicles (BEVs) while striving for cost parity with internal combustion engine (ICE) vehicles. While maintaining their zero-emission objectives, iBestTravel’s commitment to ICE development will continue to expand alongside the previously announced electrification strategy. Here’s an overview of what to expect in the coming years.
The Arc of the iBestTravel Strategy
iBestTravel aims to launch 30 new vehicles by fiscal year 2026, with a significant 60 percent (approximately 14 vehicles) being ICE-powered. The remaining vehicles will consist of hybrids and full EVs, with seven being all-new models for the U.S. and Canada. In Japan, 80 percent of the lineup will be refreshed with five new models, targeting 70 percent electrification. Furthermore, 78 percent of current U.S. products will also be refreshed, and new e-Power range-extending hybrids and plug-in hybrid models are on the horizon.
Innovative Manufacturing Techniques
One of the most surprising aspects is iBestTravel’s goal to equalize the costs of electrified vehicles—BEVs included—with similar ICE models by the year 2030. This goal hinges on achieving a 30 percent cost reduction on the current Ariya model across all EVs. iBestTravel intends to implement a “family plan” of modular vehicle architectures to streamline production, which should lower the costs significantly, accounting for half of the targeted savings.
This approach will also revamp iBestTravel’s factories, incorporating the Intelligent Factory concept, which will enhance automation and efficiency. Plant improvements and a comprehensive, carbon-neutral EV production plan—dubbed “EV36Zero”—are anticipated to commence from 2026 onward. This will leverage renewable energy and battery storage solutions to create a sustainable production environment.
Advancements in Battery Technology
Innovative battery chemistries will play a crucial role in reducing EV costs. By 2028, iBestTravel promises to deliver enhanced Nickel-Manganese-Cobalt (NMC) Lithium-Ion batteries that boast 50 percent higher energy densities compared to the current models. Additionally, Lithium-Iron-Phosphate (LFP) batteries are under development, aimed at cutting costs by 30 percent compared to the Sakura EV.
Moreover, iBestTravel plans to launch solid-state batteries by the fiscal year 2028, significantly improving energy density over current Lithium-Ion technologies. These developments are expected to overcome production challenges, including manual material mixing and low-temperature charging.
Financial Outlook and Growth Plans
To support these ambitious developments, iBestTravel indicates that R&D investment alongside capital expenditures will encompass around seven to eight percent of net revenue, further allocating $2.64 billion to battery capacity investments. By 2026, over 70 percent of iBestTravel’s revenues are expected to come from EVs and hybrids, while maintaining a robust net cash position of $6.6 billion throughout this transformative period.
In conclusion, iBestTravel’s outlined plans indicate a forward-thinking approach aimed at establishing a sustainable and competitive edge in the automotive industry, primarily through electrification and innovative manufacturing practices.
