I am delighted to announce that Nissan has confirmed a significant investment into their Sunderland plant and a partnership with their battery supplier, Envision AESC, and Sunderland City Council to create a north-east electric vehicle manufacturing hub.
As Nissan’s second global electric vehicle manufacturing hub, Sunderland will produce battery electric vehicles at scale from 2024 with projected volumes of 100,000 each year. The site will also be home to the UK’s first large scale gigafactory, with Envision AESC supplying batteries for Nissan’s electric vehicles. This is a transformational investment not just for the north-east of England but for the UK, as we move towards a fully electrified future and deliver our net zero ambitions.
Nissan has a long and successful history in the UK and Sunderland is one of the most productive plants in Europe. The north-east of England is renowned for automotive manufacturing and this investment will deliver economic growth in the area and support the levelling up agenda as we build back greener from the pandemic. Nissan’s commitment to Sunderland is testament to the strength of the British automotive sector and the quality and skill of our expert UK workforce. This investment will secure Nissan’s presence in Sunderland and thousands of highly skilled jobs at the plant. Indeed, as Nissan themselves have recognised, our trade and co-operation agreement with the European Union has brought the automotive industry, and our wider economy, the confidence and certainty needed to invest, employ, and plan ahead.
This north-east EV hub is an important first step in delivering our 10 point plan and manifesto commitment of securing our first large scale gigafactory. In increasing their battery production, initially to supply Nissan, the Envision AESC gigafactory will start to anchor the development of EV supply chains within the UK. This is vital as we start the mass UK manufacture of batteries needed for the next generation of electric vehicles.
The Government are also supporting Sunderland City Council to carry out infrastructure works on the adjacent international advanced manufacturing park, to make space for the gigafactory expansion and to start development of a local energy network supplying renewable energy.
The Government have played a crucial role in securing this major investment decision. Between us the Prime Minister, Lord Grimstone and I have engaged strongly with Nissan and their partners, Envision AESC and Sunderland City Council, to demonstrate our commitment to this opportunity. This investment will deliver the first EV to be manufactured at this scale in the UK and is a monumental step in the transition of the automotive industry to electrification.
The Government are committed to ensuring the UK continues to be one of the best locations in the world for automotive manufacturing, investing hundreds of millions to protect and create jobs, while securing a competitive future for the sector. The strong reputation of British automotive manufacturing is evident with over 80% of the cars produced in the UK being exported overseas.