autoevolution
 

Magna Makes Commitment to Keep Vauxhall Plants Alive

Even if the company is now unsure whether it is still capable to secure Opel, Magna International continues the fight and has rolled out a public statement, assuring the UK government that Vauxhall's plants will remain open even under its own patronage.

The Canadian - Austrian parts manufacturer said in a release that in case the Opel/Vauxhall takeover gets the final approval, the new Astra will be produced at Ellesmere Port while the Luton plant will continue the production of the Vivaro van range until 2013.

"Both the Vauxhall plants in Ellesmere Port and Luton are vitally important to us and are integral to the Magna concept. We are in ongoing discussions with unions and the UK government. We are committed to the UK and the Vauxhall brand," Magna said in a public statement according to just-auto.com.

But Magna has serious problems when it comes to the negotiations it holds with Opel. The Canadian company is reportedly working on a new takeover proposal that will come in the form of an ultimatum, as sources familiar with the matter said, meaning that Magna could stop talks in case Germany does not accept it.

On the other hand, Angela Merkel continues to support Magna, in spite of voices claiming that Opel could perform better under the ownership of RHJ International.

"There are still a number of questions to be cleared up. But the Magna concept offers excellent starting points," said Merkel at a joint news conference with Medvedev according to just-auto.com. "It offers Opel a chance and also creates the possibility of establishing a strategic partnership in the car sector with Russia," she said.
If you liked the article, please follow us:  Google News icon Google News Youtube Instagram
About the author: Bogdan Popa
Bogdan Popa profile photo

Bogdan keeps an eye on how technology is taking over the car world. His long-term goals are buying an 18-wheeler because he needs more space for his kid’s toys, and convincing Google and Apple that Android Auto and CarPlay deserve at least as much attention as their phones.
Full profile

 

Would you like AUTOEVOLUTION to send you notifications?

You will only receive our top stories