London — Nissan will pump 1.12 billion pounds ($1.4 billion) into its British plant to build electric versions of two models, offering a boost to the country’s auto industry and a UK prime minister desperate to attract foreign investment.
The Japanese automaker said Friday that its plans for electric versions of the Qashqai and Juke, produced in Sunderland in northeast England, would require a total investment of up to £2 billion ($2.5 billion), including a third battery plant in Britain and infrastructure projects that its partners would help to finance.
The project is expected to receive UK government support.
Nissan has made its electric Leaf model in Sunderland for years and will continue to do so, with batteries supplied by a small plant at the site.
In 2021, the company announced a $1.4 billion investment to build a second, 9 gigawatt-hour (GWh) battery plant in Sunderland with Chinese partner Envision AESC.
Friday’s announcement comes just a few days before Prime Minister Rishi Sunak’s Global Investment Summit, when he will try to revive interest among overseas companies, which have cooled on Britain since the Brexit vote in 2016.
“Making the UK the best place to do business is at the heart of our economic plan,” Sunak said in a statement on Friday.
Nissan did not comment on the value of any subsidies or guarantees being provided by Britain.
“Government support is always important,” Nissan’s senior vice president for manufacturing and supply chain Alan Johnson told BBC radio. “Discussions are ongoing with the government, (and are) not concluded.”
Sunak will host Nissan President and chief executive Makoto Uchida at the summit next week.
Nissan’s investment will help support jobs for 7,000 workers in Sunderland and 30,000 people in the supply chain, and builds on a presence in Britain dating back to 1986.
For the Japanese company, Britain is a key hub. Its 2021 battery investment was a show of confidence when other foreign investors were avoiding the UK after Brexit led to years of uncertainty around the country’s trading relationships.
But Sunak, who became prime minister a year ago, is having some success turning that around.
The Nissan deal comes just months after India’s Tata Motors said it would invest £4 billion ($5 billion) in a UK electric vehicle battery plant to supply its Jaguar Land Rover factories.
Industry experts had described the Tata battery plant as good progress, but argue Britain needs much more EV battery production capacity to maintain a viable, growing auto industry.
Nissan plans to offer only fully electric cars in Europe by 2030. It said it would announce the names of the new EV models and timings for production launches at a later date.
The automaker’s latest UK investment comes despite Sunak’s decision in September to delay by five years a ban on sales of new petrol cars.
TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 103.40 points at 24,542.48.
In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.
The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.
The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.
The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.
This report by The Canadian Press was first published Oct. 16, 2024.
TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.
The S&P/TSX composite index was up 205.86 points at 24,508.12.
In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.
The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.
The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.
The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.
This report by The Canadian Press was first published Oct. 11, 2024.
TORONTO – Canada’s main stock index was little changed in late-morning trading as the financial sector fell, but energy and base metal stocks moved higher.
The S&P/TSX composite index was up 0.05 of a point at 24,224.95.
In New York, the Dow Jones industrial average was down 94.31 points at 42,417.69. The S&P 500 index was down 10.91 points at 5,781.13, while the Nasdaq composite was down 29.59 points at 18,262.03.
The Canadian dollar traded for 72.71 cents US compared with 73.05 cents US on Wednesday.
The November crude oil contract was up US$1.69 at US$74.93 per barrel and the November natural gas contract was up a penny at US$2.67 per mmBTU.
The December gold contract was up US$14.70 at US$2,640.70 an ounce and the December copper contract was up two cents at US$4.42 a pound.
This report by The Canadian Press was first published Oct. 10, 2024.
