Nissan boss says Brexit trade deal has given a ‘competitive advantage in the UK and beyond’ and announces that production of its electric car batteries will move from Japan to Sunderland.
- Ashwani Gupta, chief operating officer, said the agreement would “redefine” the industry
- In Japan, Gupta said Nissan will continue to invest in Britain
- He said the company had not stopped investing in the run-up to leaving the UK
According to the senior official at the Japanese car giant, the Brexit trade deal has given Nissan a competitive advantage.
Ashwani Gupta, chief operating officer of the carmaker, said he believed the deal would ‘redefine’ the UK car industry at the last minute.
“Brexit has brought continuity in the short term, protecting 75,000 jobs across Europe and most importantly – all our models we manufacture in Sunderland,” he said in a newsletter.
In Japan, he said Nissan would continue to invest in the UK, stressing that the company would not stop investing in the run-up to leaving the UK.
The Brexit agreement ensured the sustainability of Nissan and improved the competitiveness of the giant Sunderland factory.
According to the senior official at the Japanese car giant, the Brexit trade deal has given Nissan a competitive advantage. In the photo: The plant today
Ashwani Gupta (pictured), chief operating officer of the carmaker, said he believed the last minute would ‘redefine’ the car industry in the UK.
“Sunderland is one of the top three competitiveness factories in the world for Nissan,” he said. “Brexit gives us the competitive advantage in the UK and beyond.”
Gupta also said Nissan would move production of the batteries used in its Leaf electric cars to the UK to take advantage of trade rules guaranteeing zero tariffs on EU exports, if at least 55 per cent of the car value is obtained from the United Kingdom or the EU.
The batteries are currently being imported from Japan, but Gupta told the BBC: ‘We have decided to place the production of the 62 kW battery in Sunderland so that all our products are eligible (for tariff-free exports to the EU). ‘
By the end of 2023, all Nissan cars sold in Europe will have an electrified version, he said.
Mr. Gupta added that Nissan’s message has been ‘consistent’ over the past few years, while Brexit has caused so much uncertainty for business.
“As long as the current state of affairs is maintained, we are sustainable, not only in Sunderland, but also in Europe.”
Business Secretary Kwasi Kwarteng said: ‘Nissan’s decision is a true faith in Britain and a great confidence in our economy, thanks to the vital security that the trade sector has provided with the EU.
‘For the dedicated and skilled workforce in Sunderland, this means that the city will house the latest models from Nissan in the coming years and position the company to take advantage of the wealth of benefits that will result from the production of electric vehicles, industrial revolution . ‘
Guy Opperman MP tweeted: ‘Great news for the North East. # Nissan’s commitment shows true faith in Britain and great confidence in our economy. ‘
According to Nissan, one of the two lines at its Sunderland plant will interrupt production on Friday due to European and global shipping routes and ports coming under pressure due to the coronavirus crisis.
This will affect the line produced by Qashqai and Leaf, which will be up and running again next week.
A statement from the company said: “Production on Line One at the plant has been suspended due to a disruption of the supply chain caused by the Covid-19 pandemic. We expect production to resume on Monday next week. ‘
Steve Bush, Unite’s national official for the automotive sector, said: ‘The support of Mr. Gupta for the Nissan plant in Sunderland is welcome and no less than this incredible, dedicated workforce deserves.
The Brexit agreement has ensured Nissan’s sustainability and improved the competitiveness of the giant Sunderland plant, the COO said. In the photo: the Sunderland factory
‘Through sustained economic and public health uncertainty, they have struggled to maintain this plant as one of the most productive in the automotive sector and to place it in the best position to switch to the next generation of vehicles.
‘This workforce and their community deserve a future, and we’ll work with Nissan to deliver that, because bumpy times lie ahead.
‘Therefore, Unite is seeking an urgent meeting with the government to discuss the role they need to play in the full electrification in the UK that is needed to secure this plant and others in the UK.
“This country’s leaders need to stop thinking in the short term and now plan for the changes that are coming to us quickly.”