Nissan boosts Sunderland plant

May 11 2009

Workers at Nissan's plant in Sunderland have been given a boost by the introduction of scrappage schemes across several European states.

According to the car manufacturer, the Sunderland plant can expect to see an increase in demand for several of the models built at the factory over the coming months, thanks to a growth in the number of people replacing their older vehicles with new ones.

Under schemes introduced in Germany, Italy and more recently in the UK, people with old, polluting cars are being offered financial incentives to replace their vehicles with newer, more environmentally-friendly ones.

As a result, NISSAN is expecting to see a rise in demand for its Micra, Note and Qashqai models, all of which are manufactured at the Sunderland plant.

Demand for new cars is expected to spike in the months ahead as the scrappage scheme increases the number of people looking to purchase new cars and get money for their old model.

The initiative could also help ease pressure on the used car market, which has seen prices surge since the start of the year, as demand has increased while supply has all but dried up, with people holding on to their existing cars for longer.

A recent study from Glass's predicted used car prices would be higher by the end of 2009 than they were at the end of 2008.

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