- JATCO Ltd officially opens new manufacturing plant in North East England
- Facility on the International Advanced Manufacturing Park (IAMP) will produce 3-in-1 electric vehicle powertrain for Nissan Sunderland Plant
- Facility represents an investment of up to £48.7m, creating up to 183 highly skilled jobs
Global automotive automatic transmission manufacturer JATCO Ltd has provided a major boost to the UK automotive industry by officially opening a new factory, creating up to 183 jobs.
Situated on the International Advanced Manufacturing Park, Sunderland, the factory will produce electrified powertrains for the nearby Nissan plant. Initially, this will be the 3-in-1, which modularises and integrates the motor, inverter and reducer, making them smaller and lighter.
The 138,840 sq ft facility represents a £48.7m investment into the UK and will create up to 183 highly skilled jobs.
JATCO, an automobile transmission manufacturer headquartered in Japan, has supplied over 129 million automatic transmissions to the global automotive market since it was established in 1970. The company holds the top share in CVTs globally for the 15 years since 2008 and hopes to reach a production capacity of 340,000 units from its Sunderland plant.
JATCO is beginning preparations to fit out its new unit – a high-quality detached advanced manufacturing facility with Grade A office space at International Drive in Washington – to enable its new business division, JATCO UK, to begin supply to Nissan Motor Manufacturing (UK) (NMUK). Localisation to NMUK models will begin from 2026, when the facility is scheduled for completion. The new facility was supported by a grant from the UK Government.
JATCO’s CEO, Tomoyoshi Sato, said: “I am so proud to officially open JATCO UK in the North East of England.
“We have enjoyed a long and fruitful partnership with Nissan and we are delighted to bring the manufacture of our 3-in-1 powertrain to the UK. This will be our fourth country for an overseas production plant, with other locations in Mexico, China, and Thailand.
“I am very grateful for the support of the UK Government, Sunderland City Council, and all others involved in the establishment of JATCO UK, and look forward to supporting Nissan’s EV36Zero project with these electric powertrains.”
Minister for Investment Baroness Gustafsson will visit the North East today [Thursday 16 January] to open the new facility and hear from senior officials from JATCO and Nissan about how the government funding will help bolster the UK’s automotive industry’s transition to electric vehicles and support economic growth, an integral part of the government’s Plan for Change.
Business and Trade Secretary Jonathan Reynolds said: “Sunderland is the beating heart of the UK’s automotive industry. Today’s announcement is a massive vote of confidence in the UK economy and this government’s plans to make Britain the destination of choice for investment.
“Not only will this boost our thriving auto industry, but it will help secure hundreds of jobs across the North East.
“The government is working hand in hand with investors to build a globally competitive electric vehicle supply chain in the UK and our modern Industrial Strategy will build on this legacy, bringing growth, jobs and opportunities to every part of the UK.”
Alan Johnson, Senior Vice President, Manufacturing, Supply Chain and Purchasing for Nissan AMIEO, said: “This is a fantastic step forward for our world-first EV36Zero plan. “Welcoming a key supplier to the North East of England provides a big boost to the efficiency of our supply chain. We look forward to continuing our long and successful partnership as we push towards our electric future.”
Nissan’s EV36Zero project is built on three new all electric vehicles, powered by renewables. The transformational project includes future all-electric versions of Nissan’s flagship Qashqai and JUKE crossovers, and before both of those the replacement Nissan LEAF.
Councillor Michael Mordey, leader of Sunderland City Council and finance and investment portfolio holder at the North East Combined Authority (NECA), said: “It’s fantastic to welcome JATCO UK to our city, which is a world-renowned hub for automotive and advanced manufacturing.
“JATCO’s decision to locate in the city is testament to the prowess of the city as a place to do business, and a vote of confidence in our workforce too. I’m confident that people from across our communities will benefit from this significant investment, and will – I am certain – repay JATCO’s belief in us as a city and a region, as they drive this new business to success here in the UK.”
JATCO joins a cluster of automotive and advanced manufacturing businesses located at IAMP, which is being delivered by Sunderland City Council – working with neighbouring authority South Tyneside Council – to create thousands of jobs and attract inward investment. IAMP is part of the North East Investment Zone, which was announced by the North East Combined Authority in November 2023, which seeks to drive growth in advanced manufacturing and green industries.
North East Mayor Kim McGuinness said: “JATCO has chosen the North East as their new home and the place to make this significant global investment. Our offer is strong and I’m delighted to welcome the company to the region. The decision underscores the confidence industry and investors have in the North East, and the leading role we can play in the future of the automotive and electric vehicle industry.
“It demonstrates how we are delivering for local people and businesses, helping create hundreds of skilled jobs, creating new supply chains and opening up opportunity for Sunderland and the entire North East through our Investment Zone.”
GMI, the North East-based construction firm that successfully delivered the original facility in 2019, has been reappointed to carry out the current extension and upgrade of Unit 6.