Prime Minister Keir Starmer says Sunderland is 'leading the way' in UK car manufacturing after opening of £50m JATCO plant

The prime minister was speaking following the official opening of the new £50m factory which will produce 3-in-1 electric vehicle powertrains for cars being manufactured at Nissan’s neighbouring Sunderland plant.

The new production plant will bring 183 jobs to Sunderland as well as “supporting over 400 in the wider supply chain”.

Speaking following the opening, the prime minister said: “I’m delighted to announce £50 million of investment in a new car manufacturing plant, thanks to a new partnership between the British government, the Japan Automatic Transmission Company (JATCO) and Nissan.

“This deal will see JATCO’s first and only factory in Europe – producing more of the EV engines needed to power the EV revolution.

“It will create many more high value jobs and support hundreds more and it demonstrates just what can be done when the government works hand in hand with investors, instead of sitting on their hands like the last government did.

“Because when I say this government wants to work with business, I’m serious.

“Since becoming prime minister, my focus is on restoring economic stability and creating the conditions that will make the UK the most attractive, easy and compelling place to invest.

“Making working people across Britain better off is the priority of my Plan for Change and this announcement is a huge vote of confidence in the UK.”

The PM went on to praise Sunderland for its long-standing role in the UK car manufacturing industry.

He added: “Home to the biggest car manufacturing site in the UK, some of this country’s top selling vehicles and Europe’s first ever EV battery factory – Sunderland has long been a pioneer in Britain’s automotive industry and in our electric and hybrid vehicle production.

“All supporting thousands of high skilled jobs, vibrant communities, local businesses – as well as Britain’s green ambitions. Sunderland’s success story is exactly what we want to replicate across the country through our Plan for Change.

“Because I know how important the region is to the UK. That’s why when I came to the North-East in 2023, I said we would work with you to invest on the crucial infrastructure the region needs.”

The new JATCO plant will also help in the Government’s drive to increase electric vehicle production and reduce carbon emissions.

Sir Keir added: “It is also a boost for our electric vehicle ambitions – coming on top of news earlier this month that Britain has become the biggest market in Europe for electric cars.

“Sunderland has an incredible and proud history. From one of the world’s biggest shipbuilding communities, to one of Britain’s brilliant car manufacturing cities, the people of Sunderland have long been at the forefront of modern transport.

“With today’s announcement, that reputation can only grow. I’m proud that once again it is Sunderland leading the way.”