Sunderland is home to a massive new Nissan vehicle manufacturing plant that employs 24,000 people.
Nissan stated today that it has begun a new car manufacturing project in Sunderland, which will support 24,000 jobs, marking a major victory for Britain’s post-Brexit auto industry.
The new Qashqai is expected to sustain 7,000 Nissan employment and create 24,000 new roles across the supply chain, as well as 5,000 jobs in UK dealerships. After Nissan agreed in January to continue producing cars in the UK as a result of the trade deal reached between the UK and the EU, the move is a victory for post-Brexit Britain. Nissan warned last year that if the UK left the EU without a trade deal, tariffs on cars and parts would render the Sunderland plant “unsustainable.”
According to Nissan’s chief operating officer, Ashwani Gupta, the successful trade deal between the UK and the EU was a “win” for the company.
“The Brexit deal is excellent for Nissan,” he stated in January.
“As the UK’s largest automaker, we’re seizing this chance to reshape the industry here.
“It has created a competitive atmosphere for Sunderland, not only in the United Kingdom, but also internationally.
“We’ve opted to keep the 62kWh battery manufacturing in Sunderland so that all of our goods are eligible for tariff-free export to the EU.”
“Under the agreed-upon business terms, we are committed to Sunderland for the long term.”
Nissan’s decision to keep manufacturing in Sunderland was applauded by Business Secretary Kwasi Kwarteng.
“Nissan’s decision reflects a true belief in the United Kingdom and a tremendous vote of confidence in our economy, owing to the predictability our trade deal with the EU provides,” he said.
Industry experts applauded Nissan’s decision, but stressed that the government must do more to ensure the industry’s future as cars become more electrified.
“The battery plant in Sunderland may be enough for Nissan’s near-term intentions to create tens of thousands of electric cars,” said Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders. “However, the UK made 1.5 million cars last year and all will be partly electric by 2030.”
Mr. Hawes was supported by Professor David Bailey of Warwick University.
“This is clearly fantastic news and will assist the Nissan Leaf in avoiding any future tariffs,” he said, “but we will need to see a lot more investment in battery production in the UK.”Brinkwire Summary News”.