Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

UK Vauxhall factory gets new lease of life with electric vans

Stock MarketsJul 06, 2021 09:46AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. General view of the Vauxhall car plant at Ellesmere Port, Britain, February 23, 2021. REUTERS/Phil Noble/Files

By Costas Pitas

LONDON (Reuters) - The Vauxhall car factory in northwest England will get a 100-million pound ($140 million) investment to produce electric vans, owner Stellantis said on Tuesday, the second positive announcement for British vehicle output in recent days.

Nissan (OTC:NSANY) pledged last week to invest further in the country with plans for a new giant battery plant, as companies electrify their line-ups ahead of looming bans.

The future of Vauxhall's Ellesmere Port factory had been uncertain since its owner said in 2019 that it wanted to make the new Astra car there, but that would depend on the outcome of Brexit, which was only settled in December 2020.

Stellantis said it had been "supported by the UK government", having sought a binding commitment from the authorities to make fresh investment. Some car companies have received around 10% towards their spending.

"It's a huge vote of confidence in our economy, in the people of Ellesmere Port and in our fantastic post-Brexit trading relationships," said Prime Minister Boris Johnson.

Trade barrier fears prompted some to halt investment in recent years but a Dec. 24 agreement secured zero-tariff trade for the sector, subject to vehicles containing a minimum level of parts sourced from the region.

From later in 2022, the site will produce the Vauxhall/Opel Combo-e, Peugeot (OTC:PUGOY) e-Partner and Citroen e-Berlingo vans and their passenger car variants, making the location Stellantis' first site dedicated to battery electric vehicles for the brands.

Cells will be imported from its affiliate ACC in continental Europe or other suppliers although the company said it did not rule out UK production if it later needed additional capacity.

Van demand has risen more quickly than for cars this year in Britain following store closures and an increase in online shopping.

Vauxhall, which trades as Opel in continental Europe, already produces vans at its southern English Luton factory where it made just over 62,000 vehicles last year.

In May, Stellantis said the site would gain a third shift to meet demand for the Vivaro, Citroen Jumpy/Dispatch and Peugeot Expert.

More spending could come as it intends "to consult on further investment into the Ellesmere Port site with the creation of a new UK parts distribution centre".

UK Vauxhall factory gets new lease of life with electric vans
 

Related Articles

Italy confident in MPS deal in October - sources
Italy confident in MPS deal in October - sources By Reuters - Sep 24, 2021

By Giuseppe Fonte and Valentina Za ROME (Reuters) -Italy's Treasury is confident it will be able to announce a deal to sell selected parts of state-owned bank Monte dei Paschi...

2 Cheap Growth Stocks to Snatch Up Now
2 Cheap Growth Stocks to Snatch Up Now By StockNews - Sep 24, 2021

Growth stocks are gaining momentum amid bullish market sentiment and the Fed’s signal that it will keep supporting the economy for now. We believe the continuing...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email