economy and politics

Stellantis plans to close the Opel van manufacturing plant in Luton (UK)

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This article was originally published in English

The French-Italian car giant says it has further investments planned to boost its other British factory in Ellesmere Port as a sustainable dedicated volume manufacturing plant for electric vehicles in the UK.

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Stellantis affirms that a plan to consolidate its factories in the United Kingdom will include the closure of its factory Lutonwith the potential loss of about 1,100 jobs. The Luton plant currently manufactures Vauxhall (the name of the Opel brand in the UK) petrol and diesel vans, and was due to start manufacturing battery electric light commercial vehicles next year for electric vans from Vauxhall, Citroën, Peugeot and Fiat.

Now, however, Stellantis says it is planning to invest in its other UK-based factory, Ellesmere Portwhere they intend to transfer some of the current operations of the Luton factory. Stellantis states in a statement that its mission is to create “a center of all-electric sustainable vehicles at its Ellesmere Port plant, in Cheshire, through an investment of 50 million pounds” (about 60 million euros).

The company announced that it had started talks with the unions and employees to move “hundreds of jobs” to Ellesmere Port facilities and offer “targeted employment support” to those who remain. The Unite union responded to the announcement saying: “The proposal put forward today has been a complete slap in the face to our members in Luton, where vehicles are manufactured. Vauxhall for 120 years,” adding that the decision “is not acceptable.

Stellantiswhich also owns brands such as Citroën, Peugeot and Fiatis facing the same problems as other major European automakers and struggling to sell cars as sales of electric vehicles remain slow.

In 2021, the company invested 100 million pounds (120 million euros) at Ellesmere Port to transform the facility into a battery electric light commercial vehicle production plant, making it the first plant in Stellantis dedicated to the battery electric vehicles all over the world.

“We are keen to support our members in any way we can to ensure that historic vehicle manufacturing remains in Luton and we ask the Government to do the same,” the unions add in their statement.

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