Nissan has announced a significant restructuring plan that will see a production line close at its Sunderland factory alongside 900 job cuts across its European operations.
The Japanese carmaker confirmed it will consolidate two existing production lines into one at the Sunderland plant.
This move, however, is not expected to result in any job losses.
The decision stems from the fact that the two lines were not operating at full capacity, with the consolidation aiming to boost efficiency and create valuable spare space within the factory.
This newly available capacity could potentially pave the way for new manufacturing partnerships.
The announcement follows Nissan's recent £450 million investment into upgraded factory technology and engineer training at Sunderland, which facilitated the late last year launch of its new electric vehicle, the Leaf.
However, it has also begun talks with European staff over changes that include the partial closure of its Barcelona warehouse, and moving to an importer model for its Nordic markets.
This is set to result in some 900 job losses in Europe, amounting to about 10% of its workforce in the continent, according to reports.
Nissan did not specify which roles would be impacted and at which locations within Europe.
It currently employs around 6,000 people at its Sunderland factory.
The latest restructuring efforts come after Nissan announced a major overhaul last year with the closure of seven factories and targeting some 20,000 job cuts globally.
A spokeswoman for Nissan 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.
“As part of this approach, today we have opened discussions with our European employees with a view to simplifying our structures, reducing complexity, and ensuring we operate in a sustainable and profitable way.
“This includes discussions on proposals for the partial closure of our Barcelona warehouse and to move to an importer model for our Nordic markets.
“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.”
The Re:Nissan plan was launched in a bid to boost the company’s performance and profits and involves significant cost-cutting.
The company has come under pressure from slower sales and the impact of tariff costs under US President Donald Trump’s trade policies.
