Nissan is reportedly considering shelving the development of the new Qashqai model at its facility in Sunderland, just months after starting production of the new Leaf EV.
Reuters reports that the UK Government is in advanced talks with Nissan regarding financial support to confirm the Japanese carmaker’s future at its Sunderland site.
Reports suggest that any funding for Nissan would be connected to producing new models or variants at the UK’s largest car plant, in addition to protecting thousands of jobs.
Nissan remains the largest employer in Sunderland, with the facility employing around 6,000 members of staff.
The Japanese brand’s global restructuring plan includes selling or closing other factories, in addition to cutting around 15 per cent of its worldwide workforce.
Reuters claimed that five sources with knowledge of the discussions stated that the Government funding would be in return for a long-term commitment and investment.
It also states that Nissan has quietly halted development of a full electric version of the Qashqai, which is the brand’s best-selling model in Europe.
A spokesperson for Nissan told GB News: “Nissan already has all-electric Micra, LEAF and Ariya. This electrified line-up will be boosted by an entry-level A-segment EV later this year and the UK-built Juke EV in early 2027.
Reports suggest that Nissan is planning to shelve production of the Qashqai
| GETTY/NISSAN
“Our electrified portfolio also includes Juke HEV and our market-leading Qashqai e-POWER hybrid, providing customers with a range of drivetrain options.
“Qashqai is a global best-seller and we will continue to build on our rich history of electrifying our products – we’re excited to share future plans so watch this space!”
The Qashqai is the fourth best-selling car in the UK, with more than 18,500 registrations, beating out the likes of the Vauxhall Corsa, Volkswagen Golf and Mini Cooper.
A Government spokesperson said: “Our automotive industry is vital to the North East, which is why our Industrial Strategy is delivering nearly £1billion of capital and R&D funding to strengthen manufacturers and supply chains in the region. We don’t comment on Nissan’s commercial decisions.”
The Nissan Qashqai remains the brand’s best-selling car in Europe
| NISSAN
Data from the Society of Motor Manufacturers and Traders (SMMT) shows that Sunderland produced more than one-third of all cars made in Great Britain last year.
Nissan confirmed a £2billion boost to the Sunderland factory in November 2023, which was earmarked for the production of the third-generation Leaf, the Qashqai and Juke.
Production of the Nissan Leaf began in December last year, although the firm recently confirmed that it was closing one of its production lines.
Speaking previously to GB News, a Nissan spokesperson said: “Under the Re:Nissan recovery plan, we have been taking decisive actions to enhance performance and create a leaner, more resilient business that adapts quickly to market changes.
Production of the new Nissan Leaf started in Sunderland at the end of 2025 | NISSAN
“We have also announced that we will consolidate production from two lines to one at our Sunderland Plant as we assess future opportunities to secure full plant utilisation.”
Nissan announced earlier this month that it had signed a non-binding Memorandum of Understanding (MoU) to produce Chery International UK passenger vehicles at its Sunderland Plant.
The Japanese company noted that the Sunderland facility would remain fully owned by Nissan and all workers would be Nissan employees.
Massimiliano Messina, Chairperson Nissan AMIEO, said: “This is an important step forward for our operations. We are looking forward to working with Chery International UK in the coming months to finalise a position that is optimal for both companies.”