Nissan has already stopped developing petrol engines for sale in Europe.

Limited development will continue on petrol engines for the US market, mainly those used in pickup trucks, where it expects a certain level of demand.

The move comes as policymakers worldwide tighten restrictions on vehicle emissions to promote a shift to EVs.

In Europe, new Euro 7 emissions standards are on track to go into effect as early as 2025. Nissan has determined these rules will raise the cost of developing internal combustion engines to unsustainable levels.

Nissan will phase out development of petrol engines for the Chinese and Japanese markets. But it will continue to develop engines for hybrid vehicles.

As petrol vehicles remain on the roads, Nissan will improve existing engine designs rather than develop new ones. Plants that produce engines will remain open, and no job cuts are planned at this stage, people familiar with the company’s plans said.