A top Nissan exec has warned that the UK isn’t stacking up when it comes to car manufacturing.
Alan Johnson, who heads up Nissan’s manufacturing across a massive region (including Europe, Africa, and beyond), told MPs that the company’s Sunderland plant pays more for electricity than any other Nissan factory worldwide. Yep — it’s that bad.
Back in February, the late shift at the Wearside factory was shut down, but no one lost their job — around 400 workers were moved to different production lines to keep things running efficiently.
Johnson didn’t hold back. He said that high energy prices, expensive labour and training, and a lack of strong local suppliers all add up to make the UK a tough place for building cars right now.
In fact, Nissan’s global struggles have already made headlines — the company said last year it plans to cut around 9,000 jobs worldwide after profits crashed by £1.59 billion in the first half of 2024. The Sunderland plant currently employs around 6,000 people.
At a hearing with MPs this week, Johnson called on the UK government to step up and do more to support electric vehicle (EV) production and sales. He gave a thumbs-up to new plans from Labour’s Keir Starmer to relax rules around Zero Emission Vehicles (ZEVs), saying it’s a step in the right direction.
And when asked about Donald Trump’s tariffs, Johnson said they’re not having a huge impact on the Sunderland plant specifically – though the company overall has definitely felt the hit. UK exports to the US are now being hit with a 10% tariff, and even higher ones (up to 25%) for things like cars, steel, and aluminium.
Still, the North East seems to be dodging the worst of it. A local council meeting recently revealed that while 30% of the region’s exports are road vehicles and car parts, less than 6% go to the US – meaning they’re not as exposed to those tariffs as some other areas.
