Nissan will build new models of the Qashqai and X-Trail SUV, providing a guarantee of 7,000 jobs in the process. This is the first major automotive investment decision that has occurred since the Brexit vote.
Manufacturing the new X-Trail at Sunderland could lead to the creation of hundreds of new jobs in the coming years.
In September, Carlos Ghosn, Nissan chief executive was quoted as saying that Nissan may not have invested in their Sunderland plant due to the fears risen from the outcome of June’s EU referendum. The company were not going to invest in the branch unless compensation for costs relating to new trade tarrifs was guaranteed by the government.
Carlos Ghosn commented: “I welcome British Prime Minister Theresa May’s commitment to the automotive industry in Britain and to the development of an overall industrial strategy.”
Government support is said to have had a huge impact on the company’s decision. Prime Minister, Theresa May said that this announcement was “fantastic” for the UK and said: “It is a recognition that the government is committed to creating and supporting the right conditions for the automotive industry so it continues to grow – now and in the future,”
The decision is likely to provide a significant boost to the post-Brexit UK economy. Nissan reported their record for the month with an 11 per cent rise in global production in September to 485,154 cars. More directly focused on the UK, a record was created as production drove up by 6.6 pent to 50,133 cars.
