| 3:29 PM EST

PSA Says Brexit Will Determine Future for U.K. Plant

PSA Group says its decision about making the next-generation Opel/Vauxhall Astra in England will depend on favorable tariff terms when the U.K. exits the European Union.
#Opel #europe #facilities

Share

Facebook Share Icon LinkedIn Share Icon Twitter Share Icon Share by EMail icon Print Icon

PSA Group says its decision about making the next-generation Opel/Vauxhall Astra in England will depend on favorable tariff terms when the U.K. exits the European Union.

The company’s huge Ellesmere Port plant in England produces the current Astra now. The new model will go into production in 2021.

Reports two months ago indicated PSA was considering a plan to move as much as 75% of Astra output in England to its factory in Russelsheim, Germany. PSA confirmed earlier today that Russelsheim will build the next-generation Astra.

Ellesmere’s workforce has already been cut by about 800 people since PSA acquired the factory from General Motors Co. two years ago. PSA is likely to shut down the facility if Brexit, currently scheduled for the end of October, fails to preserve duty-free trade with the EU.

The French carmaker warned last year that it would decide by 2020 whether to retool Ellesmere, which has been operating well below capacity for nearly two years, or abandon the plant.

RELATED CONTENT

  • Designing the 2019 Ram 1500

    Ram Truck chief exterior designer Joe Dehner talks about how they’ve developed the all-new pickup. “We’ve been building trucks for over 100 years,” he says. “Best I could come up with is that this is our 15th-generation truck.”  

  • GM Faces Lawsuit Over Faulty 8-Speed Transmission

    A class-action lawsuit has been filed against General Motors Co. over claimed flaws in the company’s 8-speed automatic transmission used in 2015-2019 model rear-drive vehicles.

  • 8 Rules for Getting Things Done Through People

    Effective management is a timeless skill—as demonstrated by this treasure of an article from the AutoBeat Group archive. Although the tools of the trade have changed and proliferated, the basics remain the same. Here are 8 old school (and just darn practical) rules for being an excellent manager.