Nissan is considering production of electric vehicles in China.  The company believes that China's fast growing car market will demand EVs and they hope that production within the nation will allow them to produce and sell electric vehicles at a competitive price within the country.

Nissan is considering the Chinese city of Guangzhou for the site of production of EVs within the country.  A senior Nissan exec discussed the possible plans during a ceremony held to celebrate the joint venture between the Japanese automaker and its Chinese partner Dongfeng Motor Co.  The two companies signed an agreement with the city government to initiate an electric vehicle program as part of Nissan's global EV effort.

According to the agreement signed by Nissan, they will work diligently to promote electric vehicles in the are as well as study the possibility of opening a production plant in Guangzhou.  The Nissan Leaf is expected to reach China by 2011.  As Guangzhou mayor Zhang Guangning said, "Based on our agreement with Nissan today, we're going to try to help electric-vehicle technology go mainstream and help Nissan mass-produce electric cars."

Recently, China surpassed the U.S as the world's biggest car market and is rapidly expanding.  The city of Guangzhou alone will have more than 10 million residents at the time of the Leaf launch in China.  Nissan's attempt to penetrate the Chinese EV market will be difficult as the nation has few hybrid and EV owners, but the potential for sales in China is massive.