Nissan to cease producing cylinder heads for Renault from 2024
PARIS (Reuters) – Nissan mentioned it might cease manufacturing of cylinder heads for French automobile maker Renault at its plant in Sunderland, northern England, from early 2024, including it didn’t anticipate this transfer to end in job losses.
“From early 2024, Nissan Sunderland Plant will stop manufacturing of cylinder heads on web site. We don’t anticipate this to end in job losses, and are working with workers as we redeploy them to different elements of the enterprise,” the corporate mentioned, confirming a Sky Information report.
Nissan employs about 250 individuals to make cylinder heads for Renault petrol automobiles.
“Following a research concerning the economics of cylinder head suppliers, Renault Group has discovered one other provider that may begin working with us from 2024,” a Renault spokesman mentioned.
Renault has launched into a multi-year cost-savings plan and a method shift so as to redress its monetary scenario.
Trade watchers say the tip of the contract with Nissan will elevate additional questions on the way forward for the Renault-Nissan alliance, following the departure of former CEO Carlos Ghosn, the architect of that alliance.
Renault, Nissan and Mitsubishi need greater than 80% of their fashions to be based mostly on widespread platforms by 2026, regardless of questions on strategic convergence on the three corporations within the coming decade.
(Reporting by Gilles Guillaume; Enhancing by Sudip Kar-Gupta and Bernadette Baum)
