Abstract
Purpose: The influence of EV shift spreading around the world on Japanese automobile industry due to CASE technical innovation and environmental regulation is examined in this study. In the past, the background of high international competitiveness of Japanese automobile companies has been supported by high technology in Hybrid Vehicle (HV) in addition to highly accumulated technology in the internal combustion engine. However, considerable change and supply chain reorganization is expected in the Japanese automobile industry because CASE and EV shift spreads rapidly. The expansion factor of global EV market, current status of Japanese EV market, the reason to hesitate in EV shift, the strategy of Japanese automobile companies, and the assignment of Japanese automobile industry according to EV shift are analyzed and examined in this study. Research design, data, and methodology: This study is based on the literature research, expert interview and the data published by each company. A survey on EV market which is expanding due to global CASE and environmental regulation was conducted through the literature research. And then, a research on the strategy of Japanese automobile company for EV shift was conducted through an interview with a supply chain official along with a university researcher in Aichi Prefecture where Toyota Motor Corporation is located. A result discovering the characteristic of EV strategy on each company has been achieved. Results: At this moment, the EV market in Japan is very small. Expensive vehicle price, inconvenience of charging and mileage problem, etc. are mentioned as the cause of it. Accordingly, Japanese automobile companies have been pursued the global product strategy centered on the HV. HV has been recognized as an eco-friendly vehicle prior to moving to future FCV and EV. The time Japanese automobile companies announced their EV strategy was Year 2021. However, the strategy of each company is very much different. Toyota is pursing an all round strategy which plans bold investment in PHV, FCV, etc. in addition to EV. Nissan is devoting all their energy to develop all-solid-state battery expanding global EV market based on the result which they early focused on EV. At this moment, Nissan is considered as most advanced in the development of all-solid-state battery in Japan. Honda is concentrating on the development of EV and FCV cooperating with GM in US. Implications: EV has a simple structure unlike traditional gasoline and diesel vehicles. Therefore, the expansion of EV is expected to give inevitable significant influence on the Japanese automobile industry. First, huge EV development and production facility reorganization will cause huge amount of cost. As a next, it is expected the industrial structure to be reorganized with the bankruptcy of existing companies and the entry of new companies based on the reorganization of the supply chain due to the decrease in the number of parts. Accordingly, employment problem also will be emerged seriously. Finally, the change in the Japanese automobile industry will be an important subject for research in the future because it is expected there also will be change in traditional Sryawase type Monozukuri method which has been evaluated as a strength of Japanese manufacturing industry.
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