Nissan has pumped up production of its Micra by 40% at its Sunderland plant due to the increase in demand due to the scrappage scheme.
The news comes as the Society of Motor Manufacturers and Traders (SMMT) announced that UK vehicle production has slowed to it slowest rate of decline in September since the economic crisis began.
Around 11,000 Micras rolled off the line making it a bumper month for the supermini.
Trevor Mann, senior vice president manufacturing, Nissan Europe, said: "The scrappage incentives have brought sales that wouldn’t normally have been generated.
"Both the Government’s and Nissan’s own schemes have stimulated the market and allowed us to protect jobs at the plant and in the dealer network. The boost to production has been very welcome but we need to remain cautious as scrappage incentives are scheduled to come to an end shortly.
"We will continue to monitor the market and adjust our production plan accordingly."