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Nissan and Five Other Companies Sign Agreement to Circulate Used EVs and Vehicle Batteries Within Fukushima Prefecture; Spent Batteries to Be Remanufactured in Namie

Nissan Motor Co., Ltd., Fukushima Nissan Motor Co., Ltd., Napro Earth Co., Ltd., Sompo Japan Insurance Inc., 4R Energy Corporation, and Sumitomo Mitsui Auto Service Company, Limited—six companies in total—signed the “Agreement on Collaborative Initiatives to Realize a Circular Society in Fukushima Prefecture and Namie Town” on November 2, 2026, at “EV GARDEN Namie” in Namie, Futaba District, Fukushima Prefecture. The six companies will work together to investigate and develop a circular model in which electric vehicles (EVs) used within Fukushima Prefecture continue to be used locally as pre-owned EVs, and once their vehicle batteries have completed their service life as EV batteries, those batteries are inspected and remanufactured in Namie for continued local use.

Exports of Used EVs Overseas Make It Harder for Batteries to Return to Japan

The initiative responds to the fact that newer, well-maintained used EVs are increasingly being exported overseas, making it difficult for their vehicle batteries to remain in or return to Japan. Vehicle batteries can be reused as stationary storage batteries once their service life in a car has ended, but doing so requires a system that keeps the vehicles within the prefecture and collects them at the appropriate time. Namie is home to the Namie Plant of 4R Energy Corporation, a joint venture between Nissan Motor and Sumitomo Corporation, which serves as a hub for inspecting and remanufacturing spent batteries from EVs. According to the International Energy Agency (IEA), manufacturing a new vehicle battery emits approximately 100 kg of CO2 per kWh, meaning that reusing batteries can also help reduce these emissions.

A Six-Stage Cycle, From Procurement to Local Utilization

The envisioned circulation process under the agreement is as follows.

Stage Details
① Procurement Acquire EVs around four years old; Nissan assesses battery condition (State of Health, or SOH)
② Use Individuals: used EV leases with warranty
Corporations/municipalities: maintenance leases
③ Return Around the ninth year, vehicles are returned at lease expiry or as trade-ins, then sorted into batteries and vehicle bodies
④ Dismantling and Material Recovery Reusable parts are reused, while the remaining vehicle bodies and parts are dismantled for material recovery
⑤ Remanufacturing (Namie) Spent batteries are inspected and remanufactured at a facility in Namie
⑥ Full Local Utilization Used locally as storage batteries and replacement batteries

Source: Nissan Motor news release (November 2, 2026)

Under the planned division of roles, Nissan Motor will handle vehicle battery condition diagnostics and data provision; Fukushima Nissan Motor will supply used EVs and serve as the point of contact for individual sales and leasing; Napro Earth will handle vehicle dismantling and material recovery as well as the delivery and logistics of vehicles and batteries; Sompo Japan Insurance will support the provision of performance warranties for vehicle batteries in used EVs; 4R Energy will inspect and remanufacture spent batteries at its Namie Plant; and Sumitomo Mitsui Auto Service will provide maintenance leases for corporate and municipal customers. The six companies aim to create a virtuous cycle, starting in Namie, in which properly valuing batteries raises the value of used EVs, encouraging the next generation of used EVs to remain within the prefecture.

Five-Year Agreement, With Studies to Proceed on Themes Each Company Opts Into

The themes to be studied under the agreement include: schemes for supplying, selling and leasing used EVs; valuation of vehicles and vehicle batteries; supply of charging electricity and use of renewable energy; repurposing of EVs returned at lease expiry and repurposing of spent vehicle batteries; methods for delivering vehicles and batteries and related logistics systems; and the sale, purchase and use of repurposed storage batteries. Each company will proceed with investigation and study on the themes it has chosen to participate in, with specific projects to be implemented under separate contracts among the participating parties. The agreement runs for five years from the date of signing and will automatically renew annually thereafter.

First Initiative: Warranted Used EV Leases for Individuals

As the first initiative under the agreement, Fukushima Nissan Motor, through its subsidiary Fukushima Auto Shoji, will begin offering warranted used EV leases to individuals starting November 3, 2026. Customers will be able to choose from three lease types: finance lease, maintenance lease, and lease with insurance. EV GARDEN Namie, which will serve as the point of contact, opened on November 2 and will hold its grand opening on November 3. Yoshiyuki Kaneko, president of Fukushima Nissan Motor, noted that concerns over the battery life of used EVs have been lowering their value and posing a major obstacle to EV adoption. He expressed his intention to promote the system being built in Namie as a “Fukushima-born, nationwide model” for both EV adoption and resource circulation.

【Press release】Six Companies Sign “Agreement on Collaborative Initiatives to Realize a Circular Society in Fukushima Prefecture and Namie Town”
【Related article】Toward a System for Reusing EV Batteries: METI and the Ministry of the Environment Draft Report on Reviewing the Auto Recycling System

Circular Economy Hub Editorial Team

Circular Economy Hub Editorial Team

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