Nissan and JATCO Collaborate on Electric Vehicle Powertrains

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In an exciting development for the UK automotive industry, Nissan and the Japan Automatic Transmission Company (JATCO) have announced a significant partnership with the UK Government, securing a £50 million investment to establish a cutting-edge manufacturing plant in Sunderland. This initiative signals a substantial step forward in the country’s transition towards a greener, more sustainable future in vehicle manufacturing.

The new facility, which will be JATCO’s first production site in Europe, is set to create 183 direct jobs in the region, while also supporting over 400 additional jobs within the wider supply chain. This development reflects the commitment of both companies to bolster the local economy and enhance the automotive landscape in the North East of England.

Production at the Sunderland plant will focus on the manufacturing of innovative 3-in-1 electric vehicle (EV) powertrains, which are crucial components for Nissan’s upcoming electric vehicle models. By 2026, JATCO aims to produce an impressive 340,000 electric powertrains annually, thereby ensuring a steady supply for Nissan’s new generations of electric vehicles.

This investment has been made possible through the Advanced Propulsion Fund (ATF), which is facilitated by the Advanced Propulsion Centre UK (APC). The ATF is designed to encourage private investment in the UK’s automotive sector as it transitions towards zero-emission technologies. The establishment of this plant not only showcases the potential of the UK automotive industry but also highlights the government’s proactive approach to fostering innovation and sustainability within the sector.

Sunderland is rapidly becoming a hub for automotive manufacturing, with significant presences from Nissan and prominent battery manufacturer AESC. This growing ecosystem is pivotal in supporting the UK’s ambitions to lead in the electric vehicle market.

Business and Trade Secretary Jonathan Reynolds expressed enthusiasm for the investment, stating, “The government is working hand in hand with investors to build a globally competitive electric vehicle supply chain in the UK. Our modern Industrial Strategy will build on this legacy, bringing growth, jobs, and opportunities to every part of the UK.” His remarks underline the government’s commitment to creating a robust infrastructure that supports sustainable technologies and industries.

Tomoyoshi Sato, CEO of JATCO, also shared his excitement about the venture, saying, “I am so proud to officially open JATCO UK in the North East of England. I am very grateful for the support of the UK Government, Sunderland City Council, and all others involved in the establishment of JATCO UK, and I look forward to supporting Nissan’s EV36Zero project with our electric powertrains.” His comments reflect the collaborative spirit that is essential for driving forward the electric vehicle agenda in the UK.

Alan Johnson, Senior Vice President of Manufacturing, Supply Chain, and Purchasing for Nissan AMIEO, highlighted the significance of this partnership. He stated, “Welcoming a key supplier to the North East of England provides a big boost to the efficiency of our supply chain. We look forward to continuing our long and successful partnership as we push towards our electric future.” This collaboration aims to enhance the overall efficiency and sustainability of Nissan’s operations in the UK.

Julian Hetherington, Automotive Transformation Director at the APC, remarked on the broader implications of the investment, stating, “I am delighted that the Automotive Transformation Fund has been able to contribute to and unlock significant private investment from JATCO, who bring high quality and advanced technology to an already successful automotive region. Our support is a reinforcement of the UK’s continued commitment to the extended localised supply chain for low-carbon industries.” His insights emphasise the importance of localised supply chains in achieving net-zero goals.

North East Mayor Kim McGuinness also expressed pride in the region’s growing reputation as a business destination. She commented, “JATCO choosing the North East as the place to do business and locate in our Investment Zone shows the confidence global industry has in our region, and the leading role we are playing in creating jobs and opportunities for local people and UK plc.” Her vision aligns with the ongoing efforts to enhance the economic landscape of the region through sustainable practices.

This partnership between Nissan and JATCO is more than just a business endeavour; it represents a commitment to a sustainable future. As the world increasingly pivots towards electric mobility, initiatives like this are vital for ensuring that the UK remains competitive in the global automotive market.

The establishment of the JATCO plant is a clear indication that the UK is serious about its ambitions for electric vehicle production. By investing in advanced technologies and building robust supply chains, the UK is positioning itself as a leader in the transition to a net-zero economy.

As we move forward, it will be fascinating to watch how this collaboration evolves and what it means for the future of electric vehicles in the UK. With strong government support and a commitment from industry leaders, the potential for growth in this sector is immense.

In conclusion, the collaboration between Nissan and JATCO is a promising step towards a sustainable automotive industry in the UK. By creating new jobs, enhancing supply chains, and investing in innovative technologies, this partnership not only supports local economies but also contributes to the global effort to combat climate change. The future looks bright as we drive towards a net-zero future.

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