Nissan has selected its Sunderland plant in the North East of England to manufacture its new Kicks model, outcompeting rival facilities worldwide in securing production rights. The decision, announced on Tuesday, involves a £170 million investment and is expected to safeguard approximately 6,000 jobs at the factory, along with thousands more across its supply chain.
Massimiliano Messina, chairperson for Nissan’s operations covering Africa, the Middle East, India, Europe, and Oceania, described the decision as the result of a rigorous and highly competitive evaluation process. He explained that the company undertakes extensive financial, manufacturing, and business viability assessments to determine the best location for each model’s production. Key factors include operational efficiency, craftsmanship standards associated with the company’s Japanese “monozukuri” philosophy, research and development capacity, and market considerations.
“Ultimately, we look at the feasibility, financials, and opportunities for production in locations such as Japan, Mexico, or Europe,” Messina said. He praised the Sunderland team for their competitiveness, agility, and capability, which made the plant the preferred choice for the Kicks vehicle.
In addition to the Kicks announcement, Messina revealed ongoing discussions with Chinese car manufacturer Chery about potentially producing vehicles at the Sunderland site. Interest from other manufacturers regarding the use of Sunderland’s facilities has also been expressed.
The decision comes amid discussions between Nissan and the UK government about easing the current zero-emissions vehicle mandate, which sets ambitious targets for electric vehicle sales. Business Secretary Jonathan Reynolds suggested last month that regulatory revisions may be forthcoming to enhance the competitiveness of UK car manufacturing.
Local and national leaders welcomed the news. North East Mayor Kim McGuinness highlighted the importance of the investment for the region, while Business Secretary Reynolds described the decision as a strong endorsement of British manufacturing expertise and the automotive sector’s future. “This government is committed to driving growth, investment, and skilled jobs across all areas,” Reynolds said.
Paul Butler, chief executive of the North East Automotive Alliance, called the allocation of the new model a “major boost” for Nissan, its workforce, and the regional economy. With Nissan approaching its 40th anniversary in Sunderland, Butler noted the company’s foreign direct investment as one of the most significant and enduring in the UK, underscoring its long-term commitment to the area.