Nissan is to build a new-generation electric crossover in the UK as part of a £1bn Electric Vehicle (EV) Hub.
There will also be a new gigafactory to build the batteries for the cars. In total there will be 6,200 new jobs at Nissan and in the UK supply base.
The project has been launched with an initial £1bn investment by Nissan and its partners Envision AESC, a global player in world-leading battery technology, and Sunderland City Council. Comprised of three interconnected initiatives, ‘Nissan EV36Zero’ brings together electric vehicles, renewable energy and battery production.
The projects announced today represent 6,200 jobs at Nissan and its UK suppliers, including more than 900 new Nissan jobs and 750 new Envision AESC jobs at its new smart, low-carbon battery plant.
The new Gigafactory will allow a rapid increase in production and provide batteries to power up to 100,000 Nissan electric vehicles a year.
As part of the £1 billion announcement, Nissan will invest up to £423 million to produce a new-generation all-electric vehicle in the UK. Building on Nissan’s expertise in crossovers and the worldwide success of the Nissan LEAF, it promises next-generation vehicle styling, efficiency and battery technology.
Designed for global markets, UK production will be exported to the European markets traditionally served by Nissan’s Sunderland plant. The new crossover will be built on the Alliance CMF-EV platform, with a forecasted production capacity of up to 100,000 units to be installed.
Production in Sunderland will create 909 new jobs at the plant, and more than 4,500 in the UK supply chain, while safeguarding a further 75 R&D jobs. The transformational project takes the total capital investment by Nissan into the plant past £5bn, and also includes:
• R&D at Nissan’s European Technical Centre in Cranfield, Bedfordshire
• Support for UK suppliers to transition to electric vehicles
• Plant competitiveness and environmental improvements
• Skills development in the Nissan workforce for future technologies
Other production locations have not yet been confirmed. More details about the new vehicle, including pricing and technology, will be released closer to the car’s sales launch.
Envision AESC already owns and operates Europe’s first battery plant in Sunderland, established in 2012 for the localisation of Nissan LEAF battery production. The factory’s UK team has nine years’ expertise from supplying batteries to the Nissan LEAF and eNV200, having produced enough cells, modules and packs to power over 180,000 electric vehicles in 44 countries.
Supporting this new model allocation, Envision AESC will invest £450 million to build the UK’s first gigafactory on the International Advanced Manufacturing Park (IAMP), adjacent to the Nissan plant, powered by renewable energy and pioneering next-generation battery technology.
The formal planning process is about to begin for the new gigafactory, which represents an initial 9GWh plant, with potential future-phase investment of £1.8bn by Envision AESC, generating up to 25GWh and creating 4,500 new high-value green jobs in the region by 2030, with potential on site for up to 35GWh. The new plant will increase the cost-competitiveness of EV batteries produced in the UK, including through a new Gen5 battery cell with 30% more energy density which improves range and efficiency. This commitment will power Nissan’s new vehicles, supporting the continued localisation of vehicle parts and components with advanced technology. This will make batteries cheaper and EVs more accessible to a growing number of customers in the future.
The new gigafactory will create 750 jobs and safeguard the jobs of 300 current employees.
Bringing this ecosystem together, Sunderland City Council is leading a project that aims to deliver a 100% renewable electricity ‘Microgrid’ that will save 55,000 tonnes of carbon annually.
With the ability to incorporate the existing Nissan wind and solar farms, initial plans suggest there could be as many as ten solar farms created, with an anticipated 132MW generation, and with a direct connection to renewable energy from the UK grid for ‘firm’ supply to Nissan and automotive companies located on the adjacent International Advanced Manufacturing Park (IAMP).
A first-of-its-kind, this project is estimated to be an £80 million investment and also includes plans for a 1MW battery storage system using second-life Nissan/Envision AESC batteries, which will also allow for excess energy generated during daylight hours to be captured and used at another time, helping to balance demand on the grid. Additional infrastructure projects enabling the creation of the new EV Hub take the total initial investment above £1bn.