Nissan Closes UK Factory until Further Notice over Coronavirus

Multiple automobile companies have closed down in Europe.

Increasing Impacts of COVID 19 in Automobile Industry in the UK

Nissan motors is a multinational Japanese automobile company with its headquarters situated in Yokohama. Nissan Motors corporations market their cars under sub-brands of Infiniti, Datsun, and Nissan. The tuning products used in the automobiles are by their in house brand Nismo.

Recently, Nissan closes UK factory for an indefinite period of time due to the novel coronavirus outbreak, which was previously scheduled to be open at the end of this week. But as the number of infected individuals has been growing rather fast, the company has given the statement to close its British factory. As Nissan closes UK factory, it will definitely affect its supply chain, and disruption would be seen in the market demand.

The novel coronavirus has been declared a pandemic by the World Health Organization after it has spread to more than 170 countries across the world in just three months. COVID 19 was first diagnosed in Wuhan, China, and more than eighty thousand people have been infected by this in mainland China. 256,184 people have been infected by this virus worldwide with the recent spikes in multiple European countries, including Italy.

Even though 89,918 people have recovered from the virus after experiencing mild symptoms, but 10, 497 individuals also lost their lives to the pandemic. Several multinational companies have shut down their factories in areas that are heavily affected by coronavirus. Toyota, along with Nissan closes UK factory after the recent spike in carnivorous cases in the United Kingdom and other European countries.

Nissan’s United Kingdom Factory

This plant is the largest car manufacturing factory in the United Kingdom and has around 6,000 employees working. Nissan closes UK factory amid coronavirus outbreak, but has not confirmed if this temporary shutdown will lead to job losses, but has forewarned that all necessary measures will be taken.

Nissan closes UK factory, which is situated in Sunderland, and the place where Qasqhai, Leaf, and Juke have been built. The factory has been closed since March 18 and is expected to be shut for at least a whole week. The reopening date of the plant will be confirmed after monitoring the pandemic’s situation next week.

Automobile Manufacturers

Multiple other automobile companies have also shut down their factories located in the areas which are situated in cities under lockdown amid the coronavirus outbreak. As Nissan closes UK factory, Toyota, Ford, Volkswagen have also closed their manufacturing plants until further notice. At the same time, Ferrari and Lamborghini have also announced halting of their production in Spain and Italy that might range to a couple of days to several weeks in reaction to the COVID 19 outbreak.

Reduced Demands

Manufacturing companies have been hit by the coronavirus as the supply-demand of their products have reduced severely in the past couple of weeks as coronavirus have been declared pandemic. Nissan closes UK factory after the demand for vehicles has declined, which has led to the forced stop in the production of automobiles. Even though the impact of COVID 19 has not directly affected the automobile manufacturing industry, it has certainly affected the employees, suppliers, dealers, and consumers, which in turn have shaken the economy of the companies.

There has been a temporary halt in all production sites in main continental Europe as recent restrictions are implemented on non-essential travel and personal contact. After the spread of coronavirus in Europe and the United States, it has impacted the demand of the products along with difficulty in providing the supply of the manufacturing plants which lead to the decision as Nissan closes UK factory to follow the precautions amid coronavirus and is expected to reopen its branch after two weeks.

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