Nissan to Build New Electric Vehicle Models in UK’s Largest Plant in Sunderland with £1B Investment

Nissan Motor Co. Ltd. revealed it will be producing two new electric vehicle models in the largest car plant in the United Kingdom. The Japanese automaker has reportedly committed to securing the factory in Sunderland to build the EV versions of its Qashqai and Juke models.

These models are two of Nissan Motor’s best-selling cars in the U.K. and the automobile manufacturer announced its intention to upgrade them by making the electric versions. According to BBC News, the firm is set to put in £1 billion as investment in the project.

Local Government Support for Nissan’s EV Plant

Aside from the investment that will come from Nissan Motor’s pocket, the local government is also expected to provide monetary support via contribution from the UK’s Automotive Transformation Fund (ATF). This is timely as this funding program just received a top-up worth £2 billion as indicated in its Autumn Statement that was published on Wednesday this week.

The Independent British Chancellor Jeremy Hunt said £4.5 billion would be made available to support strategic manufacturing sectors such as the car industry. Nissan will formally announce the development and production of its new Qashqai and Juke EV models in its Sunderland plant on Friday, Nov. 24. This project is very welcome in the region as it will also help preserve 6,000 jobs there.

Significance of Nissan’s Commitment to Make EVs in Sunderland

Nissan Motor is the only automobile manufacturer in the U.K. that has its dedicated battery plant that sits close to the main vehicle factory. The facility is owned by AESC and Nissan it supplies batteries to Nissan only.

Nissan’s Qashqai is the second most popular vehicle in the U.K. this year and the Juke model is at No. 7. The company’s commitment and investment in Sunderland is very important for a region that relies heavily on the automotive industry.

“Nissan’s re-commitment to building in Sunderland is a great boost for the city,” Centre for Cities’ director of policy and research, Paul Swinney, said in a statement. “It employs many thousands of people, and it supports the cafes, bars, and restaurants through the money that it puts in people’s pockets.”

He added, “The city is currently very much more reliant on the automotive sector than most other cities are on their key industries thus Sunderland needs more than one engine of growth if, should Nissan ever decide to leave.”

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