Nissan (TYO:7201) has announced a significant investment of £1.1 billion ($1.4 billion) in its Sunderland plant, underlining its major commitment to the UK automotive sector in the post-Brexit era . This strategic move aims to support the region’s economy by transforming the Sunderland site into an eco-industrial complex. The investment will support the production of three new electric vehicle models and the construction of an additional battery factory, in line with current electrification trends.
The Sunderland site upgrade is set to include Envision AESC’s new battery factory, renewable energy farms and a connected electricity grid. This development is in line with Peter Wells’ vision to achieve carbon-free manufacturing. In 2022, the Sunderland plant produced 238,000 vehicles and is now set to expand its range with electric versions of the Qashqai and Juke models, as well as the next-generation Leaf.
Nissan CEO Makoto Uchida highlighted the UK’s crucial role in shaping the future of car manufacturing, particularly in light of this expansion which is expected to secure around 7,000 local jobs. This investment demonstrates confidence in the UK market and its workforce, as well as Nissan’s commitment to sustainability and innovation.
Other car manufacturers are also making substantial investments in the UK’s burgeoning electric vehicle market. Tata is investing up to £4 billion in a new battery factory, and BMW (ETR:BMWG) has pledged £600 million for the production of electric Minis. These investments are part of a wider trend towards the electrification of the automotive industry and demonstrate confidence in the UK as a competitive location for manufacturing high-tech products.
Supporting these private sector initiatives, the UK government, under Prime Minister Rishi Sunak, has provided an additional £2 billion to promote the manufacturing of zero-emission vehicles. The move is part of a broader economic strategy aimed at boosting growth and technological advancement in the country’s automotive sector. The collective efforts of government and industry point to a strong future for electric vehicle production in the UK.
This article is originally published on fr.investing.com