LONDON — The Vauxhall automobile manufacturing facility in northwest England will get a 100 million pound ($140 million) funding to supply electrical vans, proprietor Stellantis stated on Tuesday, the second optimistic announcement for British automobile output in latest days.
Nissan pledged final week to take a position additional within the nation with plans for a brand new large battery plant, as firms electrify their lineups forward of harder emissions guidelines and looming bans.
The way forward for Vauxhall’s Ellesmere Port manufacturing facility had been unsure since its proprietor stated in 2019 that it needed to make the brand new Astra automobile there, however it might rely upon the end result of Brexit, which was solely settled in December 2020.
Stellantis stated it had been “supported by the UK authorities,” having sought a binding dedication from the authorities to make contemporary funding. Some automobile firms have acquired round 10% in direction of their investments.
“It is an enormous vote of confidence in our financial system, within the individuals of Ellesmere Port and in our unbelievable post-Brexit buying and selling relationships,” Prime Minister Boris Johnson stated in a video message.
Commerce barrier fears prompted some to halt funding lately, however a Dec. 24 settlement secured zero-tariff and quota-free commerce for the sector, topic to automobiles containing a minimal stage of components sourced from the area.
From later in 2022, the location will produce the Vauxhall/Opel Combo-e, Peugeot e-Companion and Citroen e-Berlingo vans and their passenger automobile variants, making the placement Stellantis’ first web site devoted to battery electrical automobiles for the manufacturers.
Van demand has risen extra shortly than for vehicles this yr in Britain as retailer closures, elevated on-line procuring and residential deliveries have boosted gross sales.
Vauxhall, which trades as Opel in continental Europe, already produces vans at its southern English Luton manufacturing facility. It made simply over 62,000 automobiles there final yr.
In Could, Stellantis stated the manufacturing facility would acquire a 3rd shift to fulfill elevated demand for the Vivaro, Citroen Jumpy/Dispatch and Peugeot Knowledgeable fashions.
Extra spending may be on the playing cards as the corporate stated it supposed “to seek the advice of on additional funding into the Ellesmere Port web site with the creation of a brand new UK components distribution middle.”