Nissan may drop UK Qashqai production in the event of a no-deal Brexit
Recent reports have revealed that Nissan may decide against producing their popular Qashqai model in the UK in the event of a no-deal Brexit.
In 2016 the Japanese manufacturer made a promise to build the new version of the Qashqai in Sunderland. This decision was made after the company received assurances from the government that it would be protected from the impact of the UK leaving the European Union.
However, due to poor financial performance, executives at Nissan have revealed that this plan may have to be reassessed if the UK leaves the EU without a deal at the end of October.
A source who spoke to the Financial Times said that the plans to build the Qashqai in Sunderland have not changed, but they added: “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.
“A sudden change from those rules to the rules of the World Trade Organisation will have serious implications for British industry.”
“As a sudden change from those rules to the rules of the World Trade Organisation will have serious implications for British industry, we urge UK and EU negotiators to work collaboratively towards an orderly balanced Brexit that will continue to encourage mutually beneficial trade.
“Frictionless trade has enabled the growth that has seen our Sunderland plant become the biggest factory in the history of the UK car industry, exporting more than half of its production to the EU.”
The popular Qashqai model makes up two-thirds of the 440,000 cars produced by Nissan in Sunderland each year. Therefore if production of this model does not continue at the plant, there are fears it may close altogether, putting around 7,000 jobs at risk.
It was announced earlier in the year that Nissan would not be making the next generation of the X-Trail at the plant in Sunderland, and have since moved production of this vehicle to Japan instead.