North East reaction to Nissan’s ?2bn additional investment into two …

Three is the magic number for Nissan, with the motor manufacturer pledging its second and third new all-electric vehicles to be produced in the North East – investment which will also require a third gigafactory to support its needs.

Nissan is making a direct investment of up to £1.12bn to produce the electric Qashqai and Juke models, in addition to the Leaf, which will leverage wider investment in infrastructure projects and the supply chain – including the construction of a third, neighbouring gigafactory to make more batteries – to bring a total new investment of up to £2bn.

And as De La Soul’s ‘Magic Number’ blasted out across its cavernous Sunderland ^[1] plant, where the company announced the commitment which enables up to £3bn investment in the three models, battery production and infrastructure, the region’s business community and civic leaders hailed the landmark announcement.

Go here for more Sunderland news ^[3]

John McCabe, chief executive at the North East Chamber of Commerce, said: “The announcement of the production of new electric models at Nissan’s Sunderland plant is fantastic news for the North East.

“As the only carmaker in the country with a dedicated battery plant on-site, Nissan is perfectly positioned to place the region and the wider UK at the front of electric vehicle production and green innovation. This transformative project will create more skilled, higher-paid jobs and safeguard hundreds of jobs in the region, and will provide a significant boost to the North East’s economy.

“Investments such as this really highlight the North East’s huge potential, with thriving regional supply chains and availability of renewable energy sources, and we look forward to working with Nissan to provide support for the project.”

Lucy Winskell, chair of the North East Local Enterprise Partnership, said: “Today’s announcement from Nissan reinforces the company’s commitment to the North East, and signals a new future for car manufacturing in our region. Not only will it protect thousands of existing jobs at its world leading manufacturing plant, it paves the way for more and better jobs as the company accelerates its transition to full electrification by 2030. Nissan’s commitment to manufacture future electric versions of the Qashqai, JUKE, and Leaf models follows a £1bn investment by Nissan and its partners to build a new electric vehicle hub - EV36Zero - which will create a world-first EV manufacturing ecosystem in Sunderland.

“The automotive sector in the North East, and the wider advanced manufacturing industry that supports it, is key to the future success of our region’s economy. Thanks to the adoption of new smart technology across the sector, we’re creating a workforce that is equipped with the skills needed for the jobs of the future. That’s helping to attract investment into the North East and position the region as one of the world’s leading hubs for green energy and advanced manufacturing.

“As a pioneer in electric vehicles, Nissan’s continued investment in the North East means we can capitalise on the huge economic opportunities provided by the transition to electrification. It also means as a region, we can play a leading role in government’s ambition to reach net zero by 2050.”

Graeme Miller, leader of Sunderland City Council, said: “Today’s announcement is fantastic news for Sunderland, the North East and the UK – building on our world-leading strengths in automotive and advanced manufacturing, creating high quality jobs, growing our low carbon economy and further positioning us at the heart of electrification on a global stage. It is a huge vote of confidence in the city and region – and our people - that Nissan has again chosen to invest here.

“The strength of our partnership with businesses like these alongside our ability to work with Government is essential to the continued success of the sector, and the Investment Zone for the North East announced today means we can build on our track record by attracting further investment of this scale and significance.”

And Sunderland Central MP Julie Elliott said: “The decision by Nissan today is a great vote of confidence in the Sunderland plant. I am glad that the plant’s strong reputation for green technology continues with the announcement that the production of the new Qashqai and Juke electric vehicles will be built in Sunderland.

“The many thousands of highly skilled jobs at the plant and in the supply chain provide so many opportunities to residents of Sunderland Central, whether that’s young people starting out their new careers through apprenticeships, or long serving, highly skilled workers. This investment has come at a great time for Sunderland as a city: a city primed for investment, with a bright future ahead.”

Unite general secretary Sharon Graham said: “Investment from the Automotive Transformation Fund is of course welcome. But the fund is insufficient to ensure the UK automotive industry as a whole, on which countless livelihoods depend, is not left behind during the shift to electric vehicles. For Britain to grasp the opportunities this transition presents – more and better jobs, a stronger fairer economy and net zero goals achieved – requires a bolder more comprehensive industrial intervention from government that puts workers front and centre.”

Washington and Sunderland West MP Sharon Hodgson said: “This will bring a real boost to our local economy, create new opportunities for our supply chain manufacturers and will provide industrial security for years to come, ensuring the UK’s domestic battery making capacity is improved significantly.

“It also means that real progress is now being made towards the transition to zero emission vehicles, with Nissan powering forward with its 2030 electrification commitments. I thank Nissan for their commitment to the North East and to the UK’s automotive sector. This builds on years of a strong relationship between Sunderland and Nissan and I am excited to see this new announcement come to fruition.”

Paul Butler, chief executive of the North East Automotive Alliance, said: “This investment, along with easing of global supply chain constraints, will see the North East automotive sector grow by £4bn over the next four years – making the combined turnover for the region in excess of £12bn per annum. The ramping up of production and new investment coming in, will create many thousands of jobs across the supply chain, which is great for the North East economy and UK PLC.”

He added: “The UK Government were instrumental in bringing Nissan to the UK in the early 1980s, it’s safe to say there has not been a more successful foreign direct investment than that of Nissan.”

References

^{^} Sunderland (www.chroniclelive.co.uk)
^{^} Nissan announces £3bn total investment into new electric vehicles (www.chroniclelive.co.uk)
^{^} Go here for more Sunderland news (www.chroniclelive.co.uk)
^{^} North East investment zone will aim to help create 4,000 new jobs (www.chroniclelive.co.uk)
^{^} Give gigafactories special status to avoid repeat of Britishvolt failure, MPs say (www.chroniclelive.co.uk)