Nissan union seeks Brexit assurances after X-Trail plan scrapped

British MPs 'deeply troubled' by Nissan UK investment reports

British MPs 'deeply troubled' by Nissan UK investment reports

Investment in the industry fell 46 percent past year and new auto production dropped 9.1 percent to 1.52 million vehicles, in part because of concerns over Brexit, the motor manufacturers said.

Nissan will be forced to reapply for £61m of taxpayer support after backtracking on a promise to built its X-Trail SUV in Sunderland.

The company said the decision was taken for business reasons, but made clear that continued uncertainty around the UK's future relationship with the European Union was not helping it plan for the future.

Update: Nissan has now officially confirmed this news.

He said Unite is "working hard to establish the truth behind current speculation", adding that they will be meeting the company on Monday to establish the facts.

Nissan's change of heart comes just days after Britain's carmakers issued a stark assessment about Brexit's impact on the industry, warning that their exports are at risk if the United Kingdom leaves the European Union without an agreement.

Speaking to the BBC on Sunday, Javid said border enforcement officials told him now available technological systems mean there is no need for checkpoints and other infrastructure on the U.K.'s land border with Ireland after Brexit.

Nissan had pledged to manufacture the new SUV model in the United Kingdom four months after the referendum - a move seen as a major vote of confidence in the country's manufacturing outside the EU. However, as production ramps up over the years and older models are phased out, jobs invariably move to the alternate facility and the original factory suffers, experts have warned.

The multimillion-pound package offered to the carmaker in 2016 was tied to its pledge to build the X-Trail SUV and a new model of its popular...

Commenting on the letter a spokesperson for Nissan said that it "shows Nissan and the United Kingdom government's continued desire to support investment in the United Kingdom and maintain Sunderland as one of Nissan's manufacturing hubs in Europe".

Nissan is also expected to benefit from building these cars in Japan and exporting them to Europe since the two sides recently ushered in a landmark free trade deal.

"Nissan's announcement is a blow to the sector and the region, as this was to be a further significant expansion of the site and the workforce", Business Secretary Greg Clark said.

A report by the Society of Motor Manufacturers and Traders (SMMT) said investment had effectively "stalled" amidst fears over the UK's future trading with the EU.

Production of diesel cars was down by 22 per cent to 561,000 previous year.

British politicians have sharply criticized May's Brexit deal and voted it down in Parliament.

Jaguar Land Rover has announced global cuts of some 4,500 jobs, with the lion's share coming in the UK. The X-Trail production plans had been announced in the autumn of 2016.

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