Nissan Motor Co., Japan's third- largest automaker, intends to begin offering electric cars in China by 2012 as the country seeks to boost sales of fuel- efficient vehicles to cut pollution and oil usage.

``The government is interested in our plan because the environmental issues are becoming a critical issue in China,'' Yasuaki Hashimoto, president of Nissan Motor (China) Ltd., told reporters at the Guangzhou auto show today. ``China is one of the most important markets for electric cars.''

China has cut taxes on fuel-efficient vehicles to boost sales of less-polluting cars and it also plans to support local automakers' research into alternative-energy vehicles. Still, Chinese drivers have shunned hybrid vehicles so far, with Toyota Motor Corp.'s Prius, the bestselling model in China, racking up 616 sales nationwide in the first nine months of the year.

Higher gasoline prices have helped spurred demand for Nissan's fuel-efficient Teana sedans and Tiida compacts. The carmaker's venture with Dongfeng Motor Group Co. boosted car sales 23 percent in the first 10 months, double the market pace. Sales may slow if China's cooling economy damps the overall market, Hashimoto said.

``If the total demand is going to decline, sooner or later we will have some impact,'' he said. ``It is totally up to the market situation.''

To contact the reporter on this story: Tian Ying in Beijing on ytian@bloomberg.net