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Nissan triples investment in EV production in the UK
29/11/2023
News
Nissan has unveiled plans to invest up to £2bn in expanding its manufacturing facility in Sunderland and producing two new electric vehicle (EV) models, securing the future of what is the UK’s largest car production plant as the sector moves away from the production of petrol and diesel-powered vehicles.
Some £1.12bn will fund the production of all-electric replacements for the Japanese company’s Juke and Qashqai models, in addition to the all-electric Leaf replacement announced in 2021. The remainder will be invested in infrastructure projects and the supply chain, including a new gigafactory.
The investment builds on the £1bn EV hub announced by Nissan and its battery partner AESC in 2021, supporting the future of Nissan’s 7,000 strong UK workforce as well as the 30,000 staff employed in the wider supply chain.
The Nissan Sunderland plant opened in 1986 and is one of Europe’s largest car factories. Earlier this year, Nissan marked the milestone of building its 11 millionth vehicle at the plant.
Nissan plans for all its new cars in Europe to be fully electric from now on, with its passenger cars across the region expected to be 100% electric by 2030.
In addition, the UK government has confirmed £15mn funding for a £30mn collaborative project led by Nissan that aims to strengthen the technical expertise and R&D zero emission vehicle capability of the Nissan Technical Centre (NTCE) in Cranfield, Bedfordshire.
Nissan’s announcement follows Tata’s investment of over £4bn in a new 40 GWh gigafactory, BMW’s investment of £600mn to build next generation Mini EVs in Oxford, Ford’s investment of £380mn in Halewood to make electric drive units and Stellantis’ £100mn investment in Ellesmere Port for EV van production.
The UK government recently revised its target date for all new cars sold in the UK to be zero emissions, moving the deadline from 2030 to 2035, bringing the country in line with other major global economies including France, Germany, Sweden and Canada. However, auto-manufacturers will still have to meet strict EV sales quotas or risk fines, which means that just over a fifth of vehicles sold in the UK in 2024 will have to be electric, rising to 80% by 2030 and 100% by 2035.
