Key facts
- Nissan has halted development of an electric Qashqai SUV as part of a cost-cutting initiative.
- The decision impacts the Sunderland plant in the UK, where Nissan is seeking government financial support.
- Nissan cited significant volatility in European EV demand and is pursuing a balanced electrification strategy.
- The company previously committed to an EV Qashqai in 2023, supported by the UK government.
- Nissan is also exploring contract manufacturing for Chinese automaker Chery at the Sunderland facility.
Nissan has reportedly halted development of a fully electric version of its Qashqai SUV, a key model in Europe, as part of a broader cost-cutting and restructuring initiative. The decision comes amid increasing competition and what Nissan describes as significant volatility in European electric vehicle demand. The automaker is seeking financial support from the UK government for its Sunderland plant, which employs around 6,000 workers. Nissan previously committed in 2023 to building an EV Qashqai at the facility, a plan that had government backing. However, the company is now exploring options including contract manufacturing vehicles for China's Chery. Nissan stated it remains committed to its electrified lineup, including hybrid models, and is pursuing a balanced electrification strategy. The Qashqai, sold in petrol and hybrid versions, accounted for approximately 45% of Nissan's 330,000 European sales in 2025. The halt in EV development could delay the model's market entry until the early 2030s if the project is eventually restarted. The Sunderland factory's production has significantly declined since 2016.