Brexit blamed for Nissan's decision to move SUV production to Japan

Jason Cook

Jason Cook

In 2016, just months after the referendum, Nissan announced it would manufacture X-Trail SUV in Sunderland to sell to the European market. I will be asking for the government to intervene, and will stay in close contact with the company itself, ' she said.

"That is what Parliament instructed me to do on Tuesday night", she asserted. The government expects negotiations to go down to the wire, leaving the threat of a chaotic no-deal split that casts a shadow over companies right up to next month's deadline.

Sunderland Central Labour MP Julie Elliott said Nissan is yet to officially announce the move, but that the "inevitable role" Brexit has played can not be denied. Although, uncertainty over Brexit, and indeed future United Kingdom policy, relative to the future policy environment in Japan will not have helped.

It sparked questions over whether a deal between the carmaker and the government had been struck, although ministers insisted that no "financial compensation" had been offered.

And Nissan is part-owned by France's Renault, which could move production to France in future to avoid any post-Brexit EU tariffs.

Work on the Qashqai - which makes up the majority of Nissan Sunderland's work - is not expected to be affected.

Current production in Sunderland also includes the Nissan LEAF, which is Europe's best-selling electric auto.

Mueller Probe Surrounded With 'Mayhem', Produced No Serious Output Yet
His company Concord did hire American lawyers, however, to fight the charges. The sensitive evidence is kept on computers disconnected from the internet.

British politicians have sharply criticized May's Brexit deal and voted it down in Parliament.

Current production includes the LEAF electric auto, which reached production of 46,989 units previous year.

The reported decision by Nissan also comes just weeks after a triple jobs blow in the United Kingdom vehicle industry.

The company said the "voluntary separation programme" at the Welsh factory is needed to cut costs and create a "sustainably profitable business" in Europe. However, as production ramps up over the years and older models are phased out, jobs invariably move to the alternate facility and the original factory suffers, experts have warned.

He said the workforce in Sunderland will continue to benefit from the investment planned for Juke and Qashqai. We are working hard to establish the truth behind current speculation and will be meeting with the company on Monday morning to establish both the facts and how such news has been released without a discussion with the union. JLR, Honda and BMW have all announced plans to idle their factories in the days after Britain is set to leave the European Union in hopes of avoiding potential chaos at the borders.

First reported by industry journal Automotive News Europe, the manufacturer will only build the next-gen crossover in Japan, making its home country the global production hub for its top-selling SUV model.

"A model like X-Trail is manufactured in multiple locations globally, and can therefore be reevaluated based on changes to the business environment", explained Hideyuki Sakamoto, Nissan's executive vice president for manufacturing and supply chain management.

Recommended News

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.