The translation of the heading is: "Change of course at Vauxhall: Decision on British plants imminent.

  • Vauxhall Decides on the Future of British Plants Amid Discussions on EV Net-Zero Targets.
  • Stellantis warns of possible plant closures without regulatory changes or financial incentives.

Eulerpool News·

In the coming weeks, a decision is to be made on the future of Vauxhall's British plants. This critical decision stems from discussions about the net-zero targets for the sale of electric vehicles (EVs), which have sparked heated debates between industry and government. Parent company Stellantis, which also houses brands like Fiat, Citroen, and Peugeot, warned back in June about potential closures of the Ellesmere Port and Luton sites should the stringent requirements not be relaxed. While electric cars and vans are produced in Ellesmere Port, Luton exclusively manufactures vans. More than 1,000 jobs are at stake. Despite intense negotiations with the government, Stellantis CEO Carlos Tavares stated that the sites remain at risk. In an interview with Bloomberg, he expressed that a decision needs to be made soon. The ZEV mandate, introduced this year, stipulates that automakers must sell 22 percent of their vehicles as electric vehicles. This quota is set to rise to 80 percent by 2030. Those who fail to meet the requirements must either pay hefty fines or rely on tradable emissions certificates. Tavares argues that the regulations force companies to sell significantly more EVs than consumers actually demand, leading manufacturers to resort to substantial price cuts. Stellantis and other automakers expressed these concerns in a letter to Finance Minister Rachel Reeves, warning of potential job losses and lack of investment unless additional financial incentives for consumers are provided. In September, new EV registrations rose by 25 percent to a record high of 56,362 vehicles, representing a 17.8 percent share of total sales figures. However, these gains were mainly achieved by businesses and fleet operators, while sales to private customers grew by only 3.7 percent, despite numerous discounts.
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