Nissan announces £170m investment in UK plant
NissanCar manufacturer Nissan has announced plans for a new model in Europe and £170m investment to build it at its plant in Sunderland.
The second generation Nissan Kicks is a hybrid electric vehicle which is currently built in Japan, Mexico and Brazil.
It will be built alongside its Qashqai, Juke and Leaf models at the Wearside factory. The Japanese firm said the plan would not create new jobs or change shift patterns but it would help safeguard existing roles.
Business Secretary Jonathan Reynolds said the announcement was a "huge vote of confidence in the UK's manufacturing expertise and automotive future".
The model's wheels are driven solely by a electric motor, while a petrol engine is used to generate electricity and recharge the on-board battery, the carmaker said.
It will be the tenth model to be built at Nissan's Sunderland plant since production began in 1986.
ReutersThe site, which employs about 6,000 people, is currently running at about half capacity after merging two of its production lines earlier this year.
No timelines for when production on the new Kicks would start were announced.
The move follows talks with Chinese giant Chery to also manufacture its vehicles at the site to "secure better plant utilisation", which Nissan confirmed were continuing.
Earlier this year, Nissan confirmed it would be cutting 900 jobs in Europe, which included plans to close part of its warehouse in Barcelona and import cars to Nordic countries.
Former chief operating office Andy Palmer said the announcement positioned Nissan "nicely" amid the UK government's plans to phase out the sale of new petrol and diesel cars by 2030 and to 100% of new car and van sales being zero emission by 2035.
"One would hope, therefore, that this secures the Nissan plant not just for the next five years but indeed for the next 50 years," Palmer said.
Additional reporting by PA Media.
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