Arab Press

بالشعب و للشعب
Tuesday, Feb 24, 2026

Nissan Europe 'unsustainable' in no-deal Brexit

The Japanese carmaker is concerned about the impact of export duties in the event of no-deal Brexit.

apanese carmaker Nissan has warned that a no-deal Brexit could make its European business model unsustainable.

Nissan's European chairman, Gianluca de Ficchy, said if a 10% export tariff was introduced after the UK left the EU it would put its operations "in jeopardy".

This would be the case if the UK moved to World Trade Organization (WTO) rules after Brexit, he said.

He was speaking at Nissan's plant in Sunderland, where work on a new model of the Juke is due to start.

The Japanese firm said it had invested £100m in the plant, which also makes the Qashqai and electric Leaf models.

Mr de Ficchy said Nissan still intended to build in Sunderland, the UK's biggest car plant, but that it was difficult to plan for the future amid Brexit uncertainty.

The new Juke has been designed and manufactured in the UK, aimed specifically at European markets, with two-thirds of its components coming from the EU and 70% of production destined for the continent.

Nissan, which employs 7,000 in Sunderland, also has operations in Spain.

Mr de Ficchy said the cost of moving to WTO rules would mean the "entire business model for Nissan Europe will be in jeopardy".

The car industry is the UK's biggest exporter of goods and eight out of every 10 cars built in the UK are exported.

Speaking to the BBC, Mr de Ficchy said: "We do not know still what a no-deal means.

"There are many alternatives, and today there is a lot of uncertainty.

"The only message I can [give] is that if a no-deal will be associated with the application of 10% duties under the WTO rules, that will create an enormous problem for the overall European activities of Nissan Europe.

"If we will have to sustain 10% export duties on the vehicles that we export from UK to EU, knowing that those vehicles represent 70% of total production, the overall business model won't be sustainable.

"It's not a question of Sunderland, it's a question of the overall economic sustainability of our business [in Europe]."

He said the business was asking for tariffs not be imposed if there is a no-deal Brexit.

"We are asking not to have tariffs being applied in a no-deal scenario because otherwise the tariffs won't be sustainable for us," he said.

A spokesperson for the Department for Business, Energy and Industrial Strategy said: "We continue to work closely with the sector as they get ready for Brexit on 31 October."

On Wednesday, union leaders revealed night shifts at Sunderland would end - but Mr Ficchy said this was not the result of Brexit.

Other carmakers have warned about the impact of Brexit on their business, not just because of the cost of tariffs but the potential slowdown in production caused by new customs checks after the UK leaves the EU.

The industry operates a "just-in-time" model, shifting parts around the EU to construct cars in plants across the 28-nation bloc.

Honda confirms Swindon car plant closure


September figures deepen industry gloom


Last month, Carlos Tavares, chief executive of PSA - the car group that owns Vauxhall - compared a no-deal Brexit to a head-on train crash.

He has warned previously that Vauxhall plants at Ellesmere Port and Luton were under threat from Brexit.

In June, PSA Group announced plans to build a new version of the Vauxhall Astra at its Ellesmere Port factory in Cheshire.

The industry is also under pressure with fewer diesel cars being bought and emissions standards presenting challenges for carmakers.

In February, Honda announced the closure of its Swindon plant but said it was nothing to do with Brexit.

Newsletter

Related Articles

Arab Press
0:00
0:00
Close
GCC Secretary-General Holds Talks with EU Ambassador in Riyadh
Gulf States’ AI Investment Drive Seen as Strategic Bet on Technology and U.S. Security Ties
African Union Commission Chair Meets Saudi Vice Foreign Minister to Deepen Strategic Cooperation
President El-Sisi Holds Strategic Talks with Saudi Crown Prince in Riyadh
Lucid Unveils Up to $12,000 Incentive for Air and Gravity Models in Saudi Arabia
Saudi Arabia Enters Global AI Partnership, Expanding Its Role in International Technology Governance
Saudi Arabia’s Landmark U.S. LNG Agreement Signals Major Strategic Shift
Saudi Arabia Accelerates Global Gaming Push with Billion-Dollar Deals and Expanded PIF Mandate
Saudi Arabia Reports $25.28 Billion Budget Deficit in Fourth Quarter of 2025
Alvarez & Marsal Tax Establishes Dedicated Pillar Two and Transfer Pricing Team in Saudi Arabia
United States Approves Over Fifteen Billion Dollars in Major Arms Sales to Israel and Saudi Arabia
Pre-Iftar Walks Gain Momentum as Ramadan Wellness Trend Spreads
Middle East Jackup Rig Fleet Contracts Further After Saudi Drilling Suspensions
Türkiye and Saudi Arabia Prepare to Sign Five Gigawatt Renewable Energy Deal at COP31
King Mohammed VI Congratulates Saudi Leadership on Founding Day, Reaffirming Strategic Ties
US Envoy Huckabee Clarifies Remarks on Israel After Expansionism Controversy
Saudi Arabia Introduces Limited Exceptions to Regional Headquarters Requirement for Foreign Firms
Saudi Arabia Joins Global Partnership on Artificial Intelligence, Elevating Its Role in Shaping AI Governance
Saudi Arabia and Arab States Mobilise Diplomatically After U.S. Envoy’s Israel Remarks
Cristiano Ronaldo Reaffirms His Commitment to Saudi Arabia Amid Transfer Speculation
Proposed US-Saudi Nuclear Deal Raises Questions Over Uranium Enrichment Provisions
Saudi Arabia Sends 81st Aid Flight to Gaza as Humanitarian Air Bridge Continues
Global Games Show Riyadh 2026 Positioned as Catalyst for Saudi Arabia’s Vision 2030
Saudi Arabia Eases Procurement Rules, Allowing Foreign Firms Greater Access to Government Contracts
Türkiye and Saudi Arabia Seal Two Billion Dollar Solar Energy Agreement
Saudi Crown Prince Reportedly Sends Letter to UAE Leader Over Yemen and Sudan Policies
Saudi Arabia Voices Concerns to UAE Over Sudan Conflict and Yemen Strategy
Saudi Arabia Joins Global Artificial Intelligence Alliance to Strengthen International Collaboration
Shura Island Positioned as Flagship of Saudi Arabia’s Ambitious Red Sea Tourism Drive
Saudi Arabia Rebukes Mike Huckabee Over Remarks in Tucker Carlson Interview
OpenAI CEO Sam Altman praises the rapid progress of Chinese tech companies.
Concerns Mount Over Potential Saudi Uranium Enrichment in Prospective US Nuclear Accord
Trump Directs Government to Release UFO and Alien Information
Trump Signs Global 10% Tariffs on Imports
Investability Emerges as the Defining Test of Saudi Arabia’s Next Market Phase
Saudi Arabia’s Packaging Market Accelerates as Sustainability and E-Commerce Drive Transformation
Saudi Arabia Unveils $32 Billion Push Into Theme Parks and Global Entertainment
Saudi Crude Exports to India Climb Sharply, Closing Gap With Russia
Saudi Arabia’s Halal Cosmetics Market Expands as Faith and Ethical Beauty Drive Growth
ImmunityBio Secures Saudi Partnerships to Launch Flagship Cancer Therapy
United Kingdom Denies U.S. Access to Military Base for Potential Iran Strike
Türkiye and Saudi Arabia Launch Expanded Renewable Energy Partnership
US Supreme Court Voids Trump’s Emergency Tariff Plan, Reshaping Trade Power and Fiscal Risk
Mongolian Mining Family’s HK$247 Million Stanley Home Purchase Highlights Resilient Luxury Market
UK Intensifies Efforts to Secure Saudi Investment in Next-Generation Fighter Jet Programme
Saudi Arabia Tops Middle East Green Building Rankings with Record Growth in 2025
Qatar and Saudi Arabia Each Commit One Billion Dollars to President Trump’s ‘Board of Peace’ Initiative
Ramadan 2026 Prayer Times Set as Fasting Begins in Saudi Arabia and Egypt Announces Dates
Saudi Arabia Launches Ramadan 2026 Hotel Campaign to Boost Religious and Leisure Tourism
Saudi Arabia Seeks Reroute of Greece-Bound Fibre-Optic Cable Through Syria Instead of Israel
×