Nissan UK plant to test making Chinese firm's cars

Car maker Nissan could soon build vehicles designed by the Chinese company Chery at its UK factory after an agreement was signed between the two firms.

Nissan said it will study whether it can build the cars at its Sunderland plant, with a possibility of production starting in 2027.

Under the terms of the non-binding memorandum of understanding, Nissan will continue to fully own the factory and employ all its staff.

The company's chairperson for Africa, the Middle East, India, Europe and Oceania Massimiliano Messina said the agreement was an important step for the Sunderland operation.

"We are looking forward to working with Chery International UK in the coming months to finalise a position that is optimal for both companies," he said.

Last month, Nissan announced it would be merging two of its lines producing the Leaf, Juke and Qashqai models at its Sunderland plant, but said no jobs would be lost through the change.

At the time it said it was assessing opportunities to fully utilise its factory and was believed to be in talks with several companies.

If a further deal is struck with Chery, Nissan would use Line One to produce the Chinese cars while continuing to use Line Two for its own models.

Nissan previously said it was planning to cut 900 jobs across Europe as part of cost reduction measures.

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