LMC Automotive report suggests General Motors could relocate production of UK models to Poland

Doubt has been cast over Vauxhall’s future in Britain following the Brexit referendum result in a new LMC Automotive report.

Analysts suggest in the report that Vauxhall’s parent company, General Motors (GM), is the manufacturer most likely to move its production to mainland Europe due to rising costs once Britain leaves the EU.

GM also owns Opel, which produces almost entirely identical models to Vauxhall, but for left-hand-drive markets.

The LMC report claims moving production of UK-bound models to Opel’s Polish factory would, therefore, be financially viable, and could happen as soon as in five years, to coincide with the launch of the next-generation Astra.

The Opel Astra is already produced at the Gliwice plant. The British-built right-hand-drive equivalent is currently made at Vauxhall’s Ellesmere Port plant in Cheshire, which employs more than 2000 people. Vauxhall also produces its Vivaro van at a facility in Luton that employs more than 900 people.

Despite the suggestions of the LMC report, Vauxhall has told Autocar that business will carry on as usual until the UK government reveals its plans for Brexit.

When the EU Referendum result was revealed last month, Vauxhall said: “It's important that business continues to benefit from the free movement of goods and people during [the transition] period [of Brexit].

“Communication on the development of the future relationship with the EU should also be clear and transparent. We fully support remaining part of the European Economic Area.”

Read more:

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Brexit could harm UK car industry growth

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Comments
18

19 July 2016
...potential consultancy business for themselves as "Automotive Analysts!"

Or another Autocar non story like the INEOS / JLR Defender article to drive traffic to it's website per chance?

Cynical Moi?

19 July 2016
They don't need to drum up business - look how big and long established LMC are.

BTW, it's "its"

19 July 2016
Chris C wrote:

They don't need to drum up business - look how big and long established LMC are.

BTW, it's "its"

Owned by JD powers, pretty big brand

 

Hydrogen cars just went POP

19 July 2016
LMC gained independence from J D Power in 2011.

19 July 2016
>> GM also owns Opel, which produces almost entirely identical models to Vauxhall, but for left-hand-drive markets.

Umm, I suppose this is correct, but who makes the Insignia, the Corsa, the Meriva, the Mokka and so on.

Certainly not Vauxhall!

19 July 2016
Yep they would lose out big style the Uk appetite for Vauxhall would die if they closed down the factory for the only Uk car Astra, others are all imported, but think they get away with that as many ignorant punters think they are a British built brand and the Uk hates the Opal brand .

19 July 2016
Ski Kid wrote:

Yep they would lose out big style the Uk appetite for Vauxhall would die if they closed down the factory for the only Uk car Astra, others are all imported, but think they get away with that as many ignorant punters think they are a British built brand and the Uk hates the Opal brand .

Ignorant punters, what like the ones who buy JLR products still thinking it's ultimately a British company.

 

Hydrogen cars just went POP

20 July 2016
@ 'xxxx' ~
"Ignorant punters, what like the ones who buy JLR products still thinking it's ultimately a British company." ~
Not sure anyone will care to be called 'ignorant'. Rather unnecessary. The point is, surely, that punters either will or will not wish to buy cars at least made in Britain, if not designed here. A moot point perhaps given the international nature of auto manufacturing these days.
As for JLR, it is in the process of establishing manufacturing facilities I understand in India, China, Brazil and possibly also a Middle Eastern country (UAE?).
Yet for all that JLR maintains the largest Research & Development facility in Britain and manufactures cars here on a large scale.
Indian-owned Tata, to its eternal credit, has invested £ Billions in new plant, manufacturing and R+D facilities here in Britain and given both Land Rover and Jaguar license to do their own thing to a large extent, and with increasing success.
It's a great shame a British-owned investment company did not buy JLR for the paltry £1 Billion Ford asked but the only ones interested intended stripping the company down to become a niche manufacturer - the usual British response... make money and sod the country. So a big thank you to Tata.
Perhaps this is why, quite apart from their products themselves, people still feel a desire to support JLR and buy their products.

EU Referendum now. Let the people speak.

28 September 2016
xxxx wrote:
Ski Kid wrote:

Yep they would lose out big style the Uk appetite for Vauxhall would die if they closed down the factory for the only Uk car Astra, others are all imported, but think they get away with that as many ignorant punters think they are a British built brand and the Uk hates the Opal brand .

Ignorant punters, what like the ones who buy JLR products still thinking it's ultimately a British company.

JLR is a British company, because that's where it's domiciled and articled. It's Articles are drawn up to comply with the Companies Act in England and Wales.

Do not get confused between corporate domicile and share ownership. Both are completely different aspects of corporate structure.

28 September 2016
Its Articles, rather.

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