Aston Martin will decide on site of new plant in Q3 of 2015

Article by Christian A., on June 12, 2015

An announcement on where Aston Martin’s new plant will be located will likely be made in the third quarter, according to CEO Andy Palmer. This plant will produce the new DBX crossover. Among the countries being considered are the U.S. and the UK. Palmer mentioned Alabama as a contender but there have been other states that also approached Aston Martin about the project.

At the Automotive News Europe Congress, Palmer said that Aston Martin is a “relatively small company” but he admits that there is clamor from many states and countries for the automaker to choose them. Last month, Palmer practically said that Alabama had the deal as it was the “obvious choice” because of its proximity to Daimler’s factory in Vance that rolls out Mercedes-Benz SUVs.

The automaker has set a goal that by 2019, it will have the launch of its first crossover. This is included in its plans to raise its yearly auto sales to 15,000 from 4,000 units in 2014. He said that he doesn’t have any room for expansion at its plant in Gaydon, central England. This is where Aston Martin makes all of its vehicles.

Palmer added that the company considers this crossover to be the key to its target to be consistently profitable. The automaker had gone bankrupt 7 times in its 100-year existence. He said that he hopes to break the company out of this “cycle of feast and famine” and for it to be “sustainable” by 2021. Aston Martin has been collaborating with Daimler to grow its engine range but Palmer has said previously that the crossover isn’t likely to use a Mercedes platform.

Rather, it may be built with a variant of the new sports car architecture. At the conference, Palmer mentioned that he meets with Daimler CEO Dieter Zetsche about once in every quarter. However, he said that Daimler isn’t interested to increase its stake or have any desire to take over the company.

Daimler owns a 5% stake in Aston Martin as part of their agreement for Mercedes to supply high-performance V-8 engines and electronic architectures for Aston Martin’s next generation of sports cars, which may begin trickling out in 2016.

Palmer also said that the company’s finances are in order to facilitate the replacement of its existing range of sports cars as well as produce the four-door Lagonda Taraf and the crossover.

Additional financing will be taken from working capital generated by the rise in sales. Palmer is confident that the company will be able to stay independent through this entire process.

Topics: aston martin, plant

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Cadillac’s CT6 full-size prestige-luxury sedan is still somewhat new. It has been offered to the global auto market for two model years – 2016 and 2017. But for those who...
by - February 19, 2017
In many industries, it is the rivalries that make things exciting. In basketball for example, there is the well-known rivalry between the Los Angeles Lakers against the Boston Celtics. For...
by - February 19, 2017
Now on sale in several major markets around the world including Europe, the BMW 5 Series (G30) heralds the arrival of the new seventh generation and represents a whole new...
by - February 19, 2017
Just recently, it was speculated that a new Porsche Cayman GT4 RS is coming. There is no official confirmation yet from the German sports car maker, but the arrival of...
by - February 18, 2017
Will there be a BMW M4 CS? Apparently, there is a Club Sport version of the BMWM4 after it was sighted in California doing a shoot for a new commercial...
by - February 18, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries