Infiniti pulls the plug on western Europe
INFINITI IS WITHDRAWING from western Europe because Nissan’s premium arm is no longer considered a viable business in the region.
Production of the firm’s two Uk-built models, the Q30 and QX30, will end at Nissan’s Sunderland plant in July. The company will cease all European operations from early 2020.
The move is part of a global restructuring plan. Infiniti will shift its focus to North America and China, with smaller operations in eastern Europe, the Middle East and Asia.
The car maker launched in mainland Europe and the UK in 2008, but has never taken off here. The company has just 60,000 customers in Europe, 10,000 of whom are in the UK.
Infiniti cites no sustainable way of investing in the electrification technology needed to reduce its fleet emissions in Europe as the chief reason for the move. Like all car makers, it needs to reduce its fleet emissions to an average of 95g/km of CO2 in Europe from next year.
With the vast R&D sums needed for electrified technology, the decision has been taken not to invest in the brand in Europe. A spokesman said there was no viable way for Infiniti to make the investment needed, given its sales.
The early axing from Sunderland of the Q30 and QX30, which have been hit further by the drop in demand for diesel-powered cars, would leave Infiniti with the Q50 saloon as its sole model.
Around 250 people work on Infiniti production at the plant, out of a total of 7000. Nissan hopes to redeploy Infiniti staff as much as possible across Europe.
Its dealers will remain open until early next year to work through a transition, and Infiniti will devise a plan to ensure that customers are looked after in the future for servicing, warranty, aftersales and recalls.