Japanese Nissan Motor and Chinese Chery Automobile have held talks about the possibility of producing Chery cars at Nissan's plant in Sunderland, UK, The Financial Times reports, citing informed sources.
According to sources, Nissan wants to increase the utilization of its British plant, which is currently operating at only about 50% capacity. The facility has several production lines in separate buildings, making it easier to share with other automakers.
What Nissan Wants
Nissan is one of the largest employers in the UK automotive industry. The workforce at the company's Sunderland plant consists of about 6,000 employees, while its operations provide jobs for another 30,000 people involved in the supply chains.
Meanwhile, until recently, the plant's utilization was less than 30%—the situation improved with the launch of production of the new electric Leaf model.
The electric version of the Juke, which is set to go on sale in 2027, will also be produced at this facility.
Despite these plans, the future of the plant remains in question. Last month, Nissan warned UK authorities that it would be forced to scale back production in Sunderland if the country does not become part of the "Made in Europe" initiative aimed at supporting European industry.
What Chery Wants
Chery's plans involve expanding car production in Europe. The company prefers to form partnerships with other automakers to utilize existing factories, avoiding significant investments in building its own facilities.
Chery, which produces vehicles under its own brand as well as under the Omoda and Jaecoo brands, is the fastest-growing Chinese automotive group in the UK. According to the Society of Motor Manufacturers and Traders (SMMT), in March, Chery's market share in the UK was 6%, up from 1% a year earlier.
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