Nissan To Review Car Production In The UK In Case Of No-Deal Brexit

Nissan will reevaluate the future of its UK factory in Sunderland in case the country leaves the European Union without a trade deal.

Quoting people familiar with the matter, Bloomberg reports that the Japanese manufacturer will examine moving production outside the country in case a no-deal Brexit takes place, which could eventually lead to the plant’s closure.

Sunderland is currently home to the Qashqai and Juke, and both of them could be assembled in one of the company’s other factories, signifying another major blow to the country’s automotive industry. Nissan is expected to introduce a new generation of the Qashqai next year.

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Nissan’s UK operations have already been struck by the company’s decision not to build the X-Trail in Sunderland, which also stopped making the Infiniti Q30 and QX30 after the brand withdraw from European markets altogether.

Back in 2016, the company struck a deal with then British prime minister Theresa May to ensure that the Sunderland factory will continue its operations. According to reports at the time, the government promised Nissan extra support, telling them that a possible Brexit would not hit their factory, which exports 55 percent of its output to Europe.

Nissan said in statement that it doesn’t commend on speculation and that their plans for the production of the Qashqai haven’t changed.

“Today we are among those companies with major investments in the UK who are still waiting for clarity on what the future trading relationship between the UK and the EU will look like,” the company said. “We urge UK and EU negotiators to work collaboratively towards an orderly balanced Brexit that will continue to encourage mutually beneficial trade,” Nissan added.