Nissan compact car Micra to roll out from Chennai plant

Presently, Micra is rolling out from Nissan's plant in Sunderland, UK. However, Nissan plans to begin production of a new compact fuel-efficient car from 2010 while Micra, which will be redesigned, will begin rolling out from Nissan's stable in Chennai.

Earlier, Nissan said it would stop producing Micra at its plant in Sunderland, putting at least 1200 jobs at risk. However, the UK government managed to convince Nissan to manufacture a new car and granted the automaker tax incentives valued at £6.2 million ($12.2 million).

The British government's grant covers just under half of the £13.2 million required for the changes at the Sunderland factory, Nissan said.

The plant which employs 4700 workers and rolls out over 350,000 vehicles every year, catering to the demand of Europe and the UK, will also continue producing hatchback Note as well as popular SUV Qashqai.

The Chennai plant will manufacture Micra as well as two other models, a Nissan official said.