Nissan Announces £170M Investment for New Hybrid SUV Production in UK
Nissan's Strategic Investment in UK Hybrid SUV Manufacturing
By Nick Carey
Overview of the Investment
LONDON, Sept 16 (Reuters) - Japanese automaker Nissan said on Wednesday it would build a new hybrid small SUV for Europe at its UK plant in Sunderland and would invest £170 million ($229 million) to assemble it there.
Production Details and Model Lineup
The company said the Kicks e-POWER hybrid would be made in Sunderland alongside the Qashqai, Juke and electric Leaf models, but it did not provide a timeline for production.
Restructuring and Cost-Saving Measures
Nissan has been restructuring to slash costs by ditching plants, cutting jobs and shelving some future models, including the electric version of the Qashqai.
Future of the Sunderland Plant
Concerns and Potential Partnerships
There have been concerns over the future of the Sunderland plant, which is Britain's largest car assembly plant.
Nissan said in June it was exploring renting out one of the two production lines at Sunderland to rapidly-expanding Chinese automaker Chery to build cars there.
Government Support and Industry Impact
Reuters reported later that month that the British government was in advanced talks with Nissan about providing it financial support in return for a long-term commitment and investment in Sunderland.
Official Statements
"The decision to build this new model in Sunderland is a huge vote of confidence in the UK's manufacturing expertise and automotive future," Britain's business minister Jonathan Reynolds said in a statement.
($1 = 0.7422 pounds)
(Reporting by Nick Carey; Editing by Jamie Freed)