Nissan, the Japanese automotive giant, has revealed intentions to reduce its European workforce by 10% and shut down one of the two production lines at its Sunderland facility.
Reports suggest that approximately 900 office positions, including some in the UK, could be impacted by the restructuring. Nissan has initiated a global reorganization process.
As part of the revamp, the two existing production lines in Sunderland will be merged into one, although sources informed the Mirror that this consolidation will not result in job cuts. The plant currently employs around 6,000 individuals.
Sunderland, known for manufacturing the Qashqai model, is currently operating below its full capacity. The introduction of production for the new Leaf model has commenced, providing a significant boost to the plant’s workforce and the local community.
The consolidation of one production line creates an opportunity for another manufacturer, with speculation pointing towards a Chinese company to potentially take over the vacated space. Nissan has been linked with Chery, a prominent Chinese group that owns Omoda and Jaecoo brands and is experiencing rapid growth in the UK market.
In a recent development, the Chinese-made Jaecoo 7 became the top-selling model in the UK in March, showcasing the increasing competition posed by electric vehicles from China to Western automakers. Jaecoo, launched in the UK in February 2025, witnessed a remarkable 570% surge in sales year-on-year in March, outselling established brands like Volvo and Tesla.
Earlier this year, Nissan and Chery concluded an agreement for the acquisition of Nissan’s manufacturing assets in Rosslyn, South Africa.
While the future utilization of the spare production line remains uncertain, insiders suggest that an announcement regarding its potential use could be made in the upcoming months.
A spokesperson from Nissan stated, “Under the Re:Nissan recovery plan, we have been implementing decisive measures to improve performance and establish a more agile, resilient business model that can swiftly adapt to market dynamics.”
The spokesperson added, “Today, we have initiated discussions with our European workforce to streamline our operations, reduce complexities, and ensure sustainable profitability. This includes considerations for the partial closure of our Barcelona warehouse and a shift to an importer model for our Nordic markets.”
Furthermore, the company announced plans to consolidate production from two lines to one at the Sunderland Plant as part of its strategy to explore future opportunities for maximizing plant efficiency.
