Nissan 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 tougher emissions
rules and 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 it 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 investments.
"It's a huge vote of confidence in our economy, in the people of
Ellesmere Port and in our fantastic post-Brexit trading
relationships," Prime Minister Boris Johnson said in a video
message.
Trade barrier fears prompted some to halt investment in recent
years but a Dec. 24 agreement secured zero-tariff and quota-free
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 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.
Van demand has risen more quickly than for cars this year in
Britain as store closures, increased online shopping and home
deliveries have boosted sales.
Vauxhall, which trades as Opel in continental Europe, already
produces vans at its southern English Luton factory. It made
just over 62,000 vehicles there last year.
In May, Stellantis said the factory would gain a third shift to
meet increased demand for the Vivaro, Citroen Jumpy/Dispatch and
Peugeot Expert models.
More spending could also be on the cards as the company said it
intended "to consult on further investment into the Ellesmere
Port site with the creation of a new UK parts distribution
centre."
(Reporting by Costas Pitas; editing by Michael Holden and
Barbara Lewis)
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