Nissan Sunderland's future secured by Brexit trade deal

Nissan LEAF production in Sunderland
Nissan LEAF production in Sunderland

Nissan has said the future of its Sunderland car factory is secure as a result of the Brexit trade deal signed at the end of last year. 

Nissan has said the future of its Sunderland car factory is secure as a result of the Brexit trade deal signed at the end of last year.

The Japanese car maker told the BBC it will produce additional battery production close to the Sunderland plant for its Leaf electric cars. Currently the batteries are imported from Japan.

Nissan employs 6,000 people at the plant and it supports nearly 70,000 UK jobs in the supply chain.

The trade deal secured by prime minister Boris Johnson means at least 55% of a car's value will need to be parts manufactured in the UK or the EU in order to qualify for zero tariffs when exported to Europe.

Nissan says manufacturing batteries for the Leaf in the UK will allow the cars to qualify for zero tariffs when exported to the EU.

Nissan's chief operating officer Ashwani Gupta said to the BBC: "The Brexit deal is positive for Nissan. Being the largest automaker in the UK we are taking this opportunity to redefine auto-making in the UK.

"It has created a competitive environment for Sunderland, not just inside the UK but outside as well. We've decided to localise the manufacture of the 62kWh battery in Sunderland so that all our products qualify. We are committed to Sunderland for the long term under the business conditions that have been agreed."

Business secretary Kwasi Kwarteng welcomed the firm's endorsement of Sunderland: "Nissan's decision represents a genuine belief in Britain and a huge vote of confidence in our economy thanks to the certainty our trade deal with the EU delivers."

"For the dedicated and highly-skilled workforce in Sunderland, it means the city will be home to Nissan's latest models for years to come and positions the company to capitalise on the wealth of benefits that will flow from electric vehicle production."

Nissan www.nissan.co.uk

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