Nissan commits to UK car factory after Brexit trade deal

London – Japanese car maker Nissan confirmed on Friday that it will maintain its business in the UK following a post-Brexit trade agreement between the UK and the European Union.

The news was greeted by British Prime Minister Boris Johnson as a “vote of great trust.”

The future of Nissan’s car factory in the northeastern city of Sunderland was questioned following a UK vote to leave the EU in June 2016. This decision could lead to tariffs and quotas on trade between the two countries.

However, after months of intense negotiations, the UK and the EU signed a post-Brexit trade agreement at the end of 2020. This means that there are no tariffs or quotas. However, there are other barriers to trade, such as customs checks and form filling, which inevitably increase costs.

Nissan’s chief operating officer Ashwani Gupta said the deal would guarantee the company’s future in Sunderland, which employs about 6,000 people.

“Sunderland is one of the top three factories in the world for Nissan’s competitiveness,” he said from Japan.

Johnson welcomed this commitment and said it was “great news” for the workforce and the future of domestic electric vehicle manufacturing.

By the end of 2023, all Nissan cars sold in Europe will have an electric version, Gupta said, and it’s up to the customer to switch from the traditional combustion engine.

Nissan has committed to its Sunderland plant, but said it will suspend production on Friday as transportation routes and ports are under pressure due to the coronavirus crisis. This will affect the lines that produce the Qashqai and Leaf vehicles, but said production will return to normal next week.

The union has reassured Nissan’s commitment to put an end to nearly five years of uncertainty.

“As economic and public health uncertainties continue, they fight to keep the plant one of the most productive in the automotive sector and put it in the right place to move to the next generation of vehicles. “It was,” said the Unite Labor Union.

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Nissan commits to UK car factory after Brexit trade deal

Source link Nissan commits to UK car factory after Brexit trade deal

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