Nissan Warns That UK Factory Will Become Unsustainable In Case Of No-Deal Brexit

Nissan has fired yet another warning shot against a no-deal Brexit, saying that if the country’s approaching exit from the EU triggers any tariffs on exports to the region, it will make its UK facilities unviable for business.

If Britain leaves the European Union without a deal, it would mean that locally-built cars that are exported to the EU would be slapped with a 10 percent tariff under the World Trade Organization rules.

Nissan Europe chairman Gianluca de Ficchy said to Bloomberg that if such a scenario comes into play, it would be impossible for them to offset the tariffs through cost cuts.

Also Read: 2020 Nissan Juke Goes Into Production At Sunderland Plant

“The only clear conclusion we have reached is that if there were to be a no-deal Brexit with the imposition of WTO tariffs, it will not be sustainable,” he said. “That will represent a significant cost increase which would make our products less competitive.”

Nissan’s Sunderland factory is the country’s biggest, sending 70 percent of its production to the EU. De Ficchy added that assessing their UK factory’s future is not a straightforward process and that the company believes that it has strong assets.

Car manufacturers in Britain have been increasingly vocal in opposing the country’s exit from the EU without a deal, warning that this would bring a devastating blow on the local automotive industry.

Nissan already decided to not build the X-Trail in Sunderland, in addition of stopping the production of Infiniti models for the European market. Production of the Qashqai could move to Spain, although De Ficchy said that they are currently assuming that the next-gen model will still be made in the UK.

The company has revamped one of Sunderland’s assembly lines in order to produce there the all-new Juke, adding that the production output of the factory will drop by 20 percent to 360,000 vehicles in the year through March, as a direct result of the changes they had to make in order to deal with slowing diesel sales.


  • designer_dick

    I’m waiting for the ardent Brexiters to appear and start screaming “PROJECT FEAR!!!” – it’ll be the mantra they repeat up to and including the day that Nissan announces its closing its Sunderland factory and transferring production to Spain.

    • Finkployd

      Well they were right for fear is what they are left with now ?

  • Six_Tymes

    HA! NISSAN places blame on brexit, rrriiiigghhhttt….

  • sidewaysspin

    Brexit will not stop because of Nissan or any other brand I suspect.

  • Perry F. Bruns

    And they know unsustainable. #infiniti

UAW Members Narrowly Approve Ford Contract That Includes Plant Closure

Ford’s contract with the UAW calls for a new product to be built at the Flat Rock Assembly Plant that makes the Mustang.

Ferrari GTC4 Grand Lusso Is The Four-Door Prancing Horse You Never Knew You Wanted

The Ferrari GTC4 Grand Lusso has a sleek design with sharp angles and would make for a practical super saloon.

BMW’s i4 Has More Power Than The M3 At 523 HP, Can Charge Up To 80% In 35 Minutes

The BMW i4 will have an 80 kWh battery which will enable the model to travel 373 miles on a single charge.

Hyundai Wants In On Super Bowl LIV, Will Run 60-Sec Spot

Hyundai’s new 60-second Super Bowl LIV commercial will run in the second quarter of the game.

California Government Is Done With Gas Cars, Will Mostly Buy Green Vehicles From Now On

California has fueled the feud between it and President Trump over vehicles’ emissions.

Configure Your 2021 Ford Mustang Mach-e Now And Show It To Us

The official configurator of the electric Ford Mustang Mach-E has gone live.

Ford Considering Launching More Mustang-badged Models

Ford is toying around with the idea of creating a family of different Mustang models .

Mortymobile Is A Rick And Morty-Themed Car That You Can Actually Drive

Created by Turo and Adult Swim, the 2010 Mazda3 has a giant Morty statue on the roof.

$90k Dodge Challenger Redeye Vs. $475k Ferrari 812 Superfast: No Comparison, Or Is There?

The Ferrari 812 Superfast and Dodge Challenger Redeye both have almost 800 hp.

Audi Bringing Its A-Game To The 2019 LA Auto Show With Sporty Models Galore

The global debut of the Audi e-tron Sportback will also take place in Los Angeles.