Nissan announced that it will build its Leaf electric car in Sunderland, giving a huge boost to the industry and the north-east.
The Japanese carmaker plans to build 50,000 of the zero-emission vehicles per year initially, starting in early 2013.
The move is expected to secure more than 2,000 jobs at the carmaker and in its supply chain.
Nissan will start producing the Leaf in Japan later this year and in the US state of Tennessee in 2012.
"The three production sites will support the sales launch of the model, which begins in late 2010 in Japan, the United States and selected European markets, ahead of global mass marketing from 2012," the company said.
Nissan said Britain's "commitment to a low-carb future in terms of infrastructure, customer incentives and educational promotions" helped its decision to pick the Sunderland site.
Company news from ShareCast
Nissan to build electric car in Sunderland
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