LONDON (AP) – Japanese carmaker Nissan confirmed Friday that it will maintain its operations in Britain in the wake of the post-Brexit trade deal between the country and the European Union.
The news was greeted by British Prime Minister Boris Johnson as a “great vote of confidence.”
The future of Nissan’s car plant in the northeast England city of Sunderland was thrown into doubt in the wake of Britain’s vote to leave the EU in June 2016, a decision that could have led to tariffs and quotas on trade between the two sides.
However, after months of tortuous negotiations, the U.K. and EU struck a post-Brexit trade deal at the end of 2020 that means there won’t be any tariffs or quotas. There will be other barriers to trade though, such as customs checks and more form-filling that will inevitably raise costs.
Nissan’s chief operating officer, Ashwani Gupta, said the deal ensured the company’s future in Sunderland, where it employs around 6,000 people.