This marks JATCO’s first UK and European plant, which will produce advanced 3-in-1 electric powertrains for Nissan’s Sunderland facility.

The new site will create 183 high-value jobs and support over 400 roles in the wider supply chain. By 2026, the plant aims to produce 340,000 electric powertrains annually, significantly boosting the UK’s domestic EV manufacturing capabilities. Sunderland, already home to Nissan’s £2 billion EV investment in 2023, continues to solidify its status as a hub for automotive innovation.

Business and trade secretary Jonathan Reynolds hailed the announcement as a "massive vote of confidence" in the UK economy and its thriving automotive sector. "Not only will this boost our thriving auto industry, but it will help secure hundreds of jobs across the North East. The government is working hand in hand with investors to build a globally competitive electric vehicle supply chain in the UK and our modern industrial strategy will build on this legacy, bringing growth, jobs and opportunities to every part of the UK," he said.

This investment is part of a broader wave of economic growth initiatives, including £14 billion in AI sector funding and a £4 billion investment from Malaysian company YTL, expected to create 30,000 jobs across the UK.

The project has been enabled by the Automotive Transformation Fund (ATF) through the Advanced Propulsion Centre UK (APC), which facilitates private investment in zero-emission technology. To date, ATF and APC programmes have unlocked over £6 billion in private sector funding, reinforcing the UK’s commitment to a localized low-carbon supply chain.

Minister for investment Baroness Gustafsson visited the North East to open the new facility and engage with JATCO and Nissan officials. She highlighted the government’s focus on creating jobs, boosting regional economies, and supporting the automotive industry’s transition to zero-emission technology.

JATCO CEO Tomoyoshi Sato said: "I am so proud to officially open JATCO UK in the North East of England and 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 look forward to supporting Nissan’s EV36Zero project with our electric powertrains."

The investment underscores the North East’s potential as a hub for advanced manufacturing and EV production. North East Mayor Kim McGuinness celebrated the announcement as a testament to the region’s growing role in creating jobs and driving innovation.

The UK is home to a world-class and comprehensive automotive and innovation ecosystem, including the APC, Faraday Battery Challenge, High Value Manufacturing Catapult and the ATF.

Through the ATF, the government continues to unlock private investment in UK automotive design, development, and manufacturing as the sector transitions to zero emission technology. To date, ATF and APC funding programmes have leveraged over £6bn of investment from the private sector.

The government’s new modern industrial strategy will deliver long-term, sustainable, inclusive growth right across the UK by driving investment into the economy and hardwire stability for investors, giving them the confidence to plan not just for the next year, but for the next 10 years and beyond.

Source: https://www.gov.uk/government/news/massive-boost-for-uk-motor-industry-as-50-million-investment-deal-secured