Mazda Motor Corporation and Changan Automobile have announced a 10 billion yuan (US$1.4 billion) investment for developing EVs in China by 2027.

Deng Zhitao, deputy president of the Changan-Mazda joint venture, said the partnership plans to introduce a new electric vehicle model annually from 2024 to 2027.

The goal is to triple annual sales to 300,000 units by 2027, with 90% projected to be new EVs, including all-electric models and plug-in hybrids.

The joint venture initiated EV sales with the launch of the EZ-6 sedan, offered in seven all-electric and extended-range hybrid variants, starting at 160,000 yuan.

This initiative comes as traditional Japanese brands face declining popularity.

Data published by the China Passenger Car Association reveals that Japanese brands now hold only 12.6% of the Chinese passenger car market, down 4.2% year-over-year.