THE car plant at Sunderland has always been, and remains, the jewel in Nissan's crown and fully deserves to be treated accordingly.

The case to build the new Micra at the plant is very strong indeed.

In a region without a car assembly tradition, the Sunderland factory is, within 15 years, among the most efficient manufacturing sites in the world. This is a remarkable achievement.

The workforce has shown extraordinary flexibility in producing three models on a site only designed for two, and in constantly improving efficiency.

If the decision on where to build the new Micra is determined on merit, then Sunderland will win hands down.

But merit may not be enough when the relative strength of the pound against the euro enhances the economic case to make the Micra at a Renault site in France.

Even at this late stage in the decision-making process, we ask the Nissan-Renault alliance to look at the bigger picture.

Exchange rates are volatile, and can be subject to wide fluctuations. In the short-term, sterling may seem uncompetitive. But in the long-term, who knows?

The one certain long-term factor in the whole equation is that Nissan employees on Wearside are among the most efficient and flexible of any car assembly workers anywhere in the world. That ought to count for a great deal.

We sincerely hope that the Sunderland site is not viewed as a vulnerable global outpost as Nissan and Renault join forces to devise their brave new world.

Too often in the past the North-East has suffered at the hands of overseas investors.

As Fujitsu and Siemens have demonstrated in recent years, it is often more palatable to retreat from international branch plants than pull the plug closer to home.

The Government must clearly demonstrate its long-term faith in the North-East automotive industry which has built up around Nissan through short-term support.

It needs to come up with a package which negates the "euro factor" and allows Sunderland to compete for new investment on an equal economic footing to Renault sites in France.

On a level playing field Sunderland will be a sure-fire winner.