Carmaker Nissan to build new Qashqai model in UK

LONDON: Japanese car giant Nissan announced Thursday it will build its new Qashqai sport utility vehicle at its plant in Sunderland, northeast England, easing concerns about Brexit's impact on the industry.

"Nissan's decision follows the UK government's commitment to ensure that the Sunderland plant remains competitive," said a Nissan statement.

"As a result, Nissan will increase its investment in Sunderland, securing and sustaining the jobs of more than 7,000 workers."

It will also add production of the next four-wheel drive X-Trail model at the plant.

British Prime Minister Theresa May called the announcement "fantastic news for the UK", saying the carmaker was "at the heart of this country's strong automotive industry".

"It is a recognition that the government is committed to creating and supporting the right conditions for the automotive industry so it continues to grow -- now and in the future," she added.

"This vote of confidence shows Britain is open for business and that we remain an outward-looking, world-leading nation."

Nissan boss Carlos Ghosn warned in September that the company needed guarantees from London over Britain's vote to exit the European Union before it could commit to further investment at the factory in Sunderland.

Britain faces years of tough negotiations with EU members over its future trading terms with the bloc.