Automobile manufacturer, Nissan, has recently unveiled plans to develop a $1.38 billion gigafactory in Sunderland, the U.K. This initiative has been taken with an aim to accelerate the launch of electric vehicles in the country.
For those unversed, the Japanese automaker has been manufacturing products in its current facility in Sunderland for the past 35 years. The company has collaborated with a Chinese battery technology company, Envision AESC, and Sunderland City Council for the Nissan EV36Zero project. The new EV manufacturing hub is expected to create 1,650 job opportunities in total, with 750 at Envision AESC and 900 at Nissan. Envision AESC is also planning to invest $620 million to build the new battery plant, which will operate on renewable energy and power up to 100,000 EVs of the automaker per year.
As per the statement made by Ashwani Gupta, Nissan’s Chief Operating Officer, the new project highlights the company’s target to achieve carbon-neutral operation. The company has also started working on the digital supply chain system to improve its forecast for better planning. Despite the increasing chip shortage, it also remained firm about launching new products as planned, intending to introduce 12 new products in 18 months, he added.
Apart from Nissan, several other automotive firms have been placing a major emphasis on developing batteries for electric cars. Renault, for instance, recently inked two partnership deals in a bid to design and produce electric vehicle batteries. Moreover, Volkswagen also announced plans to establish multiple gigafactories by the end of the decade in Europe. Regardless of the significant focus on boosting EV production, several automotive companies are apparently facing challenges due to the global chip shortage.
Envision Group’s CEO, Lei Zhang, has reportedly cited that the company has been establishing a long-term partnership with the Japanese automaker to launch high-performance batteries for EVs at an affordable price to meet the needs of several motorists.