Nissan invests $2.5B for electric vehicle production at British plant

Nov. 25 (UPI) -- Japanese automaker Nissan Motor says it will invest about $2.5 billion at its plant in northern Britain with a pledge to manufacture three fully electric vehicle models at the location.

The company will build three kinds of EVs and a new battery factory in partnership with the Chinese-owned company AESC, the company announced on Friday.

Nissan is receiving an undisclosed government subsidy in exchange for a pledge the battery factory will remain in Britain.

"Not only does the transformational project include future all-electric versions of Nissan's flagship Qashqai and JUKE crossovers, but Nissan is also confirming today that the third vehicle planned for UK production will be next-generation Nissan LEAF, the car that dared to spark the electrification of the automotive industry," the company said.

With the announcement, the plant in Sunderland, England, located 275 miles north of London, will remain Britain's largest electric car factory and will continue to provide some 6,000 jobs. The future of the country's car industry was in question after the 2016 Brexit vote and the semiconductor computer chip shortage during the pandemic.

British Prime Minister Rishi Sunak said Nissan's investment was a "massive vote of confidence in the U.K.'s automotive industry."

"This venture will no doubt secure Sunderland's future as the U.K.'s Silicon Valley for electric vehicle innovation and manufacturing," Sunak said.