German economy minister Rainer Bruederle has rejected a request for government aid by General Motors for Opel-Vauxhall.
Opel had been seeking loan guarantees totaling 1.1 billion euros (£830m) from Germany, where it has four plants.
Bruederle said he felt GM can afford to cover the costs itself because it has about 10bn euros (£8.2bn) in free liquidity after fully paying back credits from the US and Canadian governments.
The decision undermines loss-making Opel-Vauxhall's 3.6 billion euro (£3bn) restructuring plan.
Join the debate
Add your comment
Re: Germany rejects Opel-Vauxhall aid
Something change since May?
Vauxhall and Opel get £270m UK loans guarantee
Re: Germany rejects Opel-Vauxhall aid
Think it's just you. You're probably too young to remember the days when Reagan was running the US. Frightening.....
Re: Germany rejects Opel-Vauxhall aid
Well , what a shock !
Seriously , German aid for GM was never going to happen. Ditto UK aid for Vauxhall. EU does not approve of this kind of thing.