According to a report by Nikkei business daily, Nissan plans on launching production of its electric-vehicles and batteries in the United States and is looking into low-interest loans for its green initiatives. The report said that Nissan’s total investment is estimated at 50 billion yen ($516.4 million USD) and may even raise to 100 billion yen.

The Japanese automaker has applied for funding from the U.S. government under a low-interest-loan program to support the American auto industry.

Nissan plans to team up with NEC Corp to produce high-capacity lithium-ion batteries at its Smyrna, Tennessee plant. The Smyrna plant will also get a new assembly line that will build a small electric passenger car.

Nikkei said that Nissan plans to built up to 50,000 electric cars a year in Japan starting fall 2010. The Smyrna facility will be capable of making 50,000 to 100,000 eco-friendly vehicles a year by 2012.

Check out our First Drive of the Nissan Cube EV Prototype.

First Drive: Nissan Cube EV Prototype:

-  By: Omar Rana

Source: Reuters