Japanese automaker Nissan is set to receive up to 340,000 electric vehicle (EV) powertrains annually from a new factory being built by its key supplier, JATCO Ltd., in Sunderland, UK. The new plant, which is scheduled for completion in 2026, is supported by a British government grant aimed at accelerating the UK’s transition to electric vehicles, as the country enforces stringent EV mandates for the auto industry.
JATCO, an automatic transmission manufacturer, confirmed on Thursday that the Sunderland facility would support Nissan’s efforts to expand its EV production. In 2023, Nissan announced a $1.4 billion investment in its Sunderland plant to produce electric versions of two car models.
Alan Johnson, Nissan’s senior vice president of manufacturing, supply chain, and purchasing for Africa, the Middle East, India, Europe, and Oceania, highlighted the importance of the new supplier facility. âWelcoming a key supplier to the North East of England provides a big boost to the efficiency of our supply chain,â Johnson said in a statement.
The 138,840 square feet JATCO plant represents a 48.7-million-pound ($59.5 million) investment and is expected to create up to 183 jobs in Sunderland. JATCO, which has existing production plants in Mexico, China, and Thailand, will provide critical components for Nissanâs EV models as the company contends with increasing competition from Chinese EV manufacturers.
The company is also in ongoing discussions with Honda for a potential merger by 2026 and has planned job cuts and manufacturing capacity reductions to improve profitability.
