AP NEWS

Nissan won’t make X-Trail in U.K. due to Brexit ‘uncertainty’

February 18, 2019

Japanese car producer Nissan will not make their new model in the British city of Sunderland, citing fears of a no-deal U.K. departure from the European Union as the Brexit deadline looms.

The next-generation X-Trail that was designed for the European market will instead be produced at the company’s Kyushu plant in Japan.

“Nissan has to make optimal use of its global investments for the benefits of its customers,” Executive Vice President Hideyuki Sakamoto, said in a statement Sunday.

The company announced production of the X-Trail in Sunderland in 2016, and since increased investments in technology for future European models.

The U.K. is set to leave the E.U. at the end of March, but many are warning that the country will need more time to negotiate the departure to avoid fallout from an abrupt exit.

“While we have taken this decision for business reasons, the continued uncertainty around the U.K.’s future relationship with the E.U. is not helping companies like ours to plan for the future,” the company said.