3 minute read - 16th January 2025
JATCO establishes new manufacturing plant in Sunderland
Global automatic transmission manufacturer JATCO is to open a new factory in Sunderland. The facility, scheduled for completion in 2026, will represent an investment of £48.7m and create up to 183 new jobs.
Once fully operational, the 138,840 sq ft factory situated in the International Advanced Manufacturing Park (IAMP) will produce electrified powertrains for the nearby Nissan plant. Initially, this will be the 3-in-1 powertrain, which modularises and integrates the motor, inverter and reducer, making them smaller and lighter.
JATCO is beginning preparations to fit out its new unit, enabling its new business division, JATCO UK, to begin supplying Nissan. Localisation to Nissan models will begin in 2026, when the facility is scheduled for completion. The new facility was supported by a grant from the UK government.
Since its establishment in 1970, JATCO, headquartered in Japan, has supplied over 129 million automatic transmissions to the global automotive market. The company has held the top share in CVTs (continuously variable transmission) globally for 15 years, since 2008, and hopes to reach a production capacity of 340,000 units from its Sunderland plant.
Never miss the latest manufacturing news by signing up to our newsletter here
JATCO’s CEO, Tomoyoshi Sato, said: “We have enjoyed a long and fruitful partnership with Nissan, and we are delighted to bring the manufacture of our 3-in-1 powertrain to the UK. This will be our fourth country for an overseas production plant, with other locations in Mexico, China, and Thailand. I am very grateful for the support of the UK government, Sunderland City Council, and all others involved in the establishment of JATCO UK, and look forward to supporting Nissan’s EV36Zero project with these electric powertrains.”
Alan Johnson, senior vice president for manufacturing, supply chain and purchasing at Nissan AMIEO, said: “This is a fantastic step forward for our world-first EV36Zero plan. Welcoming a key supplier to the North East of England provides a big boost to the efficiency of our supply chain. We look forward to continuing our long and successful partnership as we push towards our electric future.”
Nissan’s EV36Zero project is built on three new all-electric vehicles powered by renewables. The transformational project includes future all-electric versions of Nissan’s flagship Qashqai and JUKE crossovers and, before both of those, the replacement Nissan LEAF.
JATCO joins a cluster of automotive and advanced manufacturing businesses located at IAMP, which is being delivered by Sunderland City Council – working with neighbouring authority South Tyneside Council – to create thousands of jobs and attract inward investment. IAMP is part of the North East Investment Zone, which was announced by the North East Combined Authority in November 2023 and seeks to drive growth in advanced manufacturing and green industries.
Councillor Michael Mordey, leader of Sunderland City Council, said: “It’s fantastic to welcome JATCO UK to our city, which is a world-renowned hub for automotive and advanced manufacturing. JATCO’s decision to locate in the city is testament to the prowess of the city as a place to do business, and a vote of confidence in our workforce too. I’m confident that people from across our communities will benefit from this significant investment, and will – I am certain – repay JATCO’s belief in us as a city and a region, as they drive this new business to success here in the UK.”