Nissan has announced a major restructuring plan that includes closing a production line at its Sunderland factory and cutting 900 jobs across its European operations as part of a broader cost-cutting initiative.
Consolidation at Sunderland
The Japanese carmaker confirmed it will consolidate two existing production lines into one at the Sunderland plant. This move is not expected to result in any job losses at the site, as the two lines were operating below full capacity. The consolidation aims to boost efficiency and create valuable spare space within the factory, potentially paving the way for new manufacturing partnerships.
The announcement follows Nissan's recent £450 million investment in upgraded factory technology and engineer training at Sunderland, which facilitated the launch of its new electric vehicle, the Leaf, late last year.
Job cuts across Europe
However, Nissan has begun talks with European staff over changes that include the partial closure of its Barcelona warehouse and a shift to an importer model for its Nordic markets. These measures are expected to result in approximately 900 job losses across Europe, representing about 10% of its continental workforce, according to reports.
Nissan did not specify which roles would be impacted or at which locations within Europe. The company currently employs around 6,000 people at its Sunderland factory.
Re:Nissan recovery plan
The latest restructuring efforts come after Nissan announced a major overhaul last year, which included the closure of seven factories and targeting some 20,000 job cuts globally.
A spokeswoman for Nissan said: “Under the Re:Nissan recovery plan, we have been taking decisive actions to enhance performance and create a leaner, more resilient business that adapts quickly to market changes.
“As part of this approach, today we have opened discussions with our European employees with a view to simplifying our structures, reducing complexity, and ensuring we operate in a sustainable and profitable way.
“This includes discussions on proposals for the partial closure of our Barcelona warehouse and to move to an importer model for our Nordic markets.
“We have also announced that we will consolidate production from two lines to one at our Sunderland plant as we assess future opportunities to secure full plant utilisation.”
The Re:Nissan plan was launched to boost the company’s performance and profits, involving significant cost-cutting. The company has faced pressure from slower sales and the impact of tariff costs under US President Donald Trump’s trade policies.
