BARCELONA (Reuters) – Japan’s Nissan Motor Co <7201.T> has decided to close its factory in Barcelona, resulting in the loss of about 3,000 jobs as part of a new worldwide restructuring plan, the Spanish government said on Thursday.

The government urged the Japanese group, which is set to unveil its global survival plan later on Thursday, to look at other options for the Barcelona plant, arguing that investing in the factory would be a cheaper alternative.

The closure would cost Nissan as much as 1 billion euros ($1.10 billion), the government said in a statement.

The Barcelona main plant employs around 2,400 workers and the total workforce is around 3,000 in several related facilities. It’s Nissan’s main plant in Europe after one in Britain.

The Barcelona plant’s production – mainly an electric van and a pick up truck – has been well under its maximum capacity, leading to protests from workers, who have been on strike since early May.

(Reporting by Joan Faus and Inti Landauro; Editing by Ingrid Melander)