London, June 3: The manufacture of the compact Micra is being transferred from Sunderland in the north of England to Chennai, a spokesman for Nissan confirmed today to The Telegraph.

Whether this turns out to be a baby sister for Tata’s Nano in Singur or the start of a sibling rivalry, only time will tell.

Meanwhile, Indian automobile experts will be coming to Sunderland to pick up valuable tips on building the Micra, while their British counterparts will go to Chennai to share whatever experience they have.

The version of the Micra that will be built in India will not be the model that is currently in production in Sunderland but an updated version suitable for Indian conditions and for the export to west Asia and other markets.

The Nissan announcement makes it clear that car making is now more than ever a global game of musical chairs.

Nissan, the Japanese car marker now in partnership with Renault of France, is clearing space in Sunderland by switching the Micra to India so that it can build a completely new compact car on the vacated assembly platforms “suitable for Europe”.

The rearrangements and transfers will safeguard a proportion of the jobs of up to 4,700 British automobile workers employed today in Sunderland.

Roger Maddison, national officer for Unite, one of the main unions, called the Nissan announcement “fantastic news”, adding: “It will safeguard over 1,200 jobs at a time when Nissan will move production of the Micra to India. This proves once again that, given the opportunity, the UK can remain a strong manufacturing base for the world’s top producers.”

What is encouraging from the Indian point of view is that Britain, which has a long tradition of car manufacturing, is more than willing to share its expertise with India which is now seen to possess the technical expertise required to build sophisticated automobiles. The anxiety of the British government is to protect as many jobs in automobile manufacturing as possible.

This is why British Prime Minister Gordon Brown visited Nissan’s European Design Centre in London today as the Japanese car giant announced a £55 million investment, of which £6.2 million is coming from the UK government.

The British Prime Minister said: “Nissan is a global manufacturer with strong roots in Britain and I’m pleased to welcome Nissan’s new investment in the UK.”

He added: “I’m delighted to congratulate Nissan on this new model, which will bring to Sunderland something that’s going to guarantee jobs in the distant future. Sunderland’s success shows what an innovative, talented and highly-committed workforce can achieve, and re-affirms the UK’s position as a strong player in the global car industry.”
Brown met Carlos Ghosn, president and CEO, Nissan Motor Co, who commented: “By delivering on tough commitments, our employees at Sunderland have demonstrated our plant can be a globally competitive centre for the production of high-value products. We are encouraged by the proactive support shown by the British government to decide new products for the Sunderland plant.”

Nissan also makes another car called the Qashqai in Sunderland. The plant produced a record 374,000 vehicles, including 82,000 Micras (down from a high of 150,000) in 2007. Nissan is the largest vehicle exporter from the UK, with around 80 per cent of production sold outside of the country.

On Indian roads, the Micra won’t be a match for dangerously-driven trucks, lorries, buses and other bullies. On the other hand, it is great to park and easy on petrol, users say. Obese Indians, whose numbers are said to be increasing with rising prosperity, may find it a tight fit.