Nissan Motor plans to introduce a new type of hybrid to the U.S. market that drives like an all-electric vehicle but is powered — not driven — by a traditional gas-powered engine. 

The new Nissan “e-Power” is called a series hybrid. It uses the engine as a generator to power the vehicle’s electric motors that then propel the vehicle. It operates like emerging extended-range electric vehicles, or EREVs, but has a smaller battery and doesn’t require a plug. 

It’s also different from a traditional hybrid, such as the Toyota Prius, because the gas engine in those vehicles is used to propel the vehicle. The series hybrid’s engine just keeps the battery charged to power the electric motors in the vehicles.

The e-Power hybrid system for Nissan is planned to launch domestically later this year in a new version of its popular Rogue compact SUV. 

Timing for such a vehicle could be ideal for Nissan with climbing gas prices, slower-than-planned adoption of EVs and an expected surge in hybrid sales amid new entries, according to officials.

After losing billions of dollars on EVs, automakers such as Nissan are turning to hybrid vehicles to meet customer expectations for fuel economy and to help with driving performance.

S&P Global Mobility expects hybrids in the U.S. this year to increase to 18.4% of new vehicle sales, up from 12.6% last year and 7.3% in 2023. It’s forecasting pure EVs, meanwhile, will be 7.1% of new vehicle sales, down from 8% last year.

“This is a unique powertrain for the for the U.S.,” Kurt Rosolowsky, Nissan North America vehicle evaluation and test engineer, said during a media briefing. “This is an electrically driven vehicle, as far as what is powering the wheels, but it doesn’t have a plug, and you fill it up with gas like you do with a normal car.”

The current Nissan Rogue, depending on the model, can achieve more than 30 MPG, according to U.S. Department of Energy and the U.S. Environmental Protection Agency.

Nissan’s vehicles historically been less fuel efficient than those from its larger Japanese rivals. Honda Motor and Toyota Motor, the latter of which pioneered traditional hybrids with the Prius and continues to dominate the sector in the U.S.

Nissan declined to discuss the possibility of expanding the e-Power system to other vehicles in the U.S., but confirmed the new system is modular and capable of working with many different engines.

“If we were to expand this to other vehicles, you can theoretically bolt this onto another gasoline engine of a different size and have more options for an e-Power system,” Rosolowsky said.

The cost of GLP-1 drugs is falling, and pill versions are hitting the U.S. market. For restaurant chains and snacking giants, higher adoption of weight loss and diabetes treatments poses a threat to their sales — or an opportunity.

GLP-1 drugs slow digestion, suppress users’ appetites and increase satiety. For many restaurants and packaged food manufacturers, those reactions will likely mean weaker sales. Adults who use GLP-1s consume 21% fewer calories and spend nearly a third less on grocery bills on average, according to KPMG. JPMorgan estimates the growing use of the medications could wipe out $30 billion to $55 billion in annual sales for the food and beverage industry as soon as 2030.

About one in every eight U.S. adults is currently taking a GLP-1 drug like Ozempic or Zepbound, according to the KFF Health Tracking Poll conducted from Oct. 27 to Nov. 2. That number doesn’t include consumers who have discontinued their use of the drugs; 18% of respondents said that they have taken a GLP-1 medication at some point.

Those numbers are expected to keep climbing, especially after Novo Nordisk launched its Wegovy pill in January and Eli Lilly prepares to roll out its own oral drug this year. By 2030, more than 30 million Americans could be on a GLP-1 treatment, up from 10 million in 2026, based on J.P. Morgan estimates.

But the shift also presents an opportunity for restaurants and food and beverage companies.

With new protein- and fiber-rich options, many businesses are hoping to win over GLP-1 consumers and mollify investors’ concerns about how the treatments will affect their bottom lines.

“Whether it is labeling as GLP-1 friendly, decreasing the serving size, emphasizing protein content, or even when you shift over to the beverage world, because hydration is certainly a concern, there are a number of players that are starting to react to this,” said Don K. Johnson, principal of strategy and execution for EY-Parthenon.

Lunch, so far, hasn’t been impacted, she said. But breakfast has taken a hit, particularly from high-income GLP-1 users, who represent a bigger percentage of current patients, she said. In practice, that means fewer sugary coffee drinks and doughnuts, although options like Starbucks‘ protein cold foam could encourage those consumers to return.

Dinner, especially at fast-food restaurants, has taken the brunt of the damage so far.

Dinner traffic has fallen 6% among consumers who have been taking the medication regularly, according to Baggett; in other words, overall restaurant sales during dinner hours have declined about 0.4% due to GLP-1 use, she said. But as the number of consumers who use the drug consistently grows, so too will the pressure on restaurant traffic.

And snacking isn’t confined to grocery store aisles. For limited-service restaurants, like McDonald’s or Taco Bell, snacking accounts for 12% of spending, according to Bank of America Global Research.

Even so, threats to those large restaurants chains may only be gradual, which gives them time to adapt.

“I think there shouldn’t be this panic out there in the marketplace, but this is a trend that’s not going away,” Baggett said. “This is an amazing opportunity for brands to start repositioning themselves and focusing on what consumers want: less sugar, higher protein and that focus on fiber.”

“I think there are more opportunities than threats, but there are both,” PepsiCo CEO Ramon Laguarta told Wall Street analysts on the company’s earnings conference call in early February.

In recent months, Pepsi has released protein-packed Doritos, relaunched Gatorade and unveiled fiber-rich varieties of SunChips and Smartfood popcorn. Those moves are part of the company’s broader strategy to modernize its portfolio and boost sales by appealing to health-conscious consumers, but they also align with Laguarta’s assumption that GLP-1 medications will be adopted more broadly.

Domino’s Pizza CEO Russell Weiner sounded unshaken when he told analysts last month that the pizza chain hasn’t seen GLP-1 drugs affect its sales yet.

“Dinner, for us, is a sharing occasion, so perhaps that’s why we’re not seeing any impact, but we’re going to continue to watch it,” he said. “But if there needs to be menu innovation around that, we will do that.”

RRD’s Baggett told CNBC that she thinks portions and snack sizing will be key for restaurants to attract consumers who are on GLP-1 treatments.

When asked about the drugs on McDonald’s earnings conference call last month, CEO Chris Kempczinski touted the burger chain’s existing protein options. But he added that the preferences of GLP-1 users are also being considered as the chain creates new menu items.

“We’re also seeing changes around maybe less snacking, changes in some of the beverages that they drink, less sugary drinks, and so all of those things are factoring into some of what we’re out there experimenting with and testing with,” he said.

Other restaurant chains have already launched options that appeal to diners on GLP-1 drugs, even if the medications weren’t the key impetus. For example, Chipotle launched grab-and-go protein cups in December, aiming to cash in on the protein and snacking crazes as its restaurant sales struggled.

And Olive Garden, owned by Darden Restaurants, released a Lighter Portions menu last year, downsizing a handful of its classic entrees at a lower price. Darden CEO Rick Cardenas said that the chain introduced the new menu to give all of its customers more options.

“It just so happens to benefit the consumers that might want smaller portions that are on GLP-1 medications, and we have a lot of options like that in all of our menus,” Cardenas said on the company’s earnings conference call in December.

In 2024, Nestle led the pack when it launched Virtual Pursuit, a frozen-food brand targeting GLP-1 users. While the packaging initially didn’t call out that it was “GLP-1 friendly,” the food company updated it later to include it prominently, boosting sales.

“It’s a big initiative for Nestle,” Nestle USA CEO Marty Thompson told CNBC at a media event earlier in March. “There will be those things that are designed for GLP-1, and there will be those things that will be sort of a companion to GLP-1, clearly calling out protein and fiber, but not necessarily designed portion-size wise or whatever for GLP-1.”

Nestle’s focus will extend beyond food, too. Thompson said that the company plans to expand into beverages and listed protein shakes as one potential way to appeal to GLP-1 customers.

Even food companies without much exposure to GLP-1 users are broadening their portfolios to reach them.

For example, Dippin’ Dots and Icee owner J&J Snack Foods makes most of its sales in stadiums, theme parks and malls. Because of its “experiential” focus, CEO Dan Fachner told CNBC that he thinks that J&J is more insulated from the effect of GLP-1 drugs compared with its snacking peers.

“I still think that in most cases, even people on GLP-1 drugs will still use those occasions for snacking,” he said.

Even still, more than a year ago, Fachner presented employees with a challenge for the company’s grocery business, which accounts for 13.5% of annual sales.

“Take the core products — pretzels and churros and Icees and Dippin’ Dots and frozen novelties — tell me how we can make them more GLP-1 friendly as it continues to grow,” he said.

This year, J&J has a number of new products hitting the freezer aisle. Protein has been added to its soft pretzels, now available in a smaller portion size. And Luigi’s Italian Ice, traditionally sold in a cup, will come in a “mini pop size,” with a formula that includes more antioxidants or helps hydration, according to Fachner. If the new products succeed in grocery stores, then J&J plans to take them to the company’s food service customers, as well.

J&J’s new products also have the benefit of appealing to a wider audience than just consumers who are on GLP-1 medication. For example, Fachner expects the new Luigi’s mini pops will appeal to health-conscious moms as a snack for their kids.