Nissan Motor has said its Sunderland factory in north east England, which makes models such as the Juke, Qashqai and Leaf which account for most European sales, 'remains under a cloud of uncertainty'.
According to Bloomberg, Gianluca de Ficchy, chairman of Nissan Europe, told a press conference near Paris that, should Britain fail to reach a free trade agreement with the European Union, the consequent 10% tariff on cars and parts could spell the demise of the plant, which exports about 75% of its output to the continent, and the automaker's entire European strategy, the executive said.
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"We would not be viable," he said. "We just wouldn't be able to sell our cars."
Bloomberg noted Nissan cut its full year profit forecast this month and scrapped its end of year dividend payout while a turnaround plan isn't due for another three months.
According to Bloomberg, De Ficchy said Sunderland models could be made at Renault plants but such a production shift would be costly and take years to put in place at a time when the car market is becoming increasingly competitive and undergoing a technological shift.
"My working hypothesis is to stay in Europe with a factory in England," de Ficchy said, according to Bloomberg.
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By GlobalDataNissan expects lower European sales in 2020, mostly due to its model range.
Nissan's Barcelona plant is experiencing a drop in volumes and "is a subject that we are examining," de Ficchy was quoted as saying.
There have been multiple media reports recently suggesting orders for the plant's mostly commercial vehicle line have been falling and the plant is operating way below capacity.
Bloomberg reported Nissan had met Spanish unions to explain a need "to review our strategy in Europe including in Barcelona".
Nissan had already announced it would cut 600 jobs at the plant and any further decisions could be made in a few months, the executive said.
Daimler reportedly said recently it plans to end production of a Nissan Navara based pickup truck built in the Spanish plant which also builds another variant for Renault.
