The North East could be the site for an electric vehicle battery ‘gigaplant’, if plans backed by the Government come to fruition.
A feasibility study is being drawn up to investigate the creation of the massive new facility at the Envision AESC plant, next to the Nissan factory in Sunderland.
The existing plant was originally a joint venture involving Nissan before being sold to its current owners in 2019.
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The company had to cut 130 jobs - around a third of its staff - earlier this year as the automotive industry was hit by the coronavirus lockdown, but there are now hopes that the plant can become a major employer as electric cars grow in demand.
The project has been boosted by a grant from the Government’s Automotive Transformation Fund and APC16 competition, which have also given funding to a separate project which sees Nissan and Newcastle University working together to develop an automated process of battery charging in the factory.
It is hoped the Nissan project will boost efficiency on the production line and reduce the cost of electric vehicle manufacturing.
Business and Industry Minister Nadhim Zahawi said: “From the days when ships exported Sunderland glass, to the modern day when it’s home to one of the world’s most coveted automotive companies, Sunderland is an epicentre for advanced manufacturing.
“Today we’re funding two Sunderland-based projects that will both play a crucial role in us meeting our net zero emissions targets by 2050.
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“This investment will boost a project led by Nissan improving battery charging in the factory – supporting the company in its quest to extend its range of electric vehicles - and also will support a world-leading battery technology company as they assess the feasibility of developing a gigafactory here in the 海角视频.”
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Envision AESC is the world’s leading battery technology company and has ambitious growth plans as it aims to secure a significant share of the rapidly growing market for batteries for electric vehicles.
It is investigating locations for a ‘gigaplant’ manufacturing facility, with reports earlier this year suggesting it was favouring a location on mainland Europe.
It is hoped the company’s existing manufacturing plant in Sunderland, along with its skilled workforce, could swing the decision on location in the 海角视频’s favour.
Altogether, funding of £49m has been announced by the Government for projects that aim to create thousands of jobs, and save millions of tonnes of CO2 as part of the 海角视频’s drive towards a low carbon automotive future
Zero-emissions buses and retro electric motorcycles are amongst concepts receiving funding. Automotive firms including Ford, Jaguar Land Rover and Lotus have received support from the funds, as well as Nissan.