Opel considers selling German plant where Corsa is built

Article by Christian A., on March 30, 2012

General Motors Co.'s Opel unit is thinking about selling its Eisenach plant in Germany, where it currently manufactures its Corsa subcompact, according to German newspaper Handelsblatt, citing a source. Handelsblatt’s source said that there’s a significant possibility that Opel would sell its Eisenach to another investor.

Opel’s Eisenach plant built 139,185 Corsas in 2011, and is due to add another vehicle, a minicar codenamed the Junior, on its production lines. Opel recently slashed production at its Eisenach site by cutting the working hours from 38 hours per week to around 30 per week until the summer, when the company slowly commences the pre-launch production of the Junior.

Opel is currently under pressure from GM chief executive Dan Akerson to reduce excess capacity, as the unit prepares itself for another restructuring measure aimed at making profits. The current economic crisis in Europe has had a big impact on car sales and Akerson estimates that manufacturers across the continent have 10 plants too many.

Opel will reportedly shut down assembly plants in Ellesmere Port, England, and Bochum, Germany, but the truth is, the carmaker’s supervisory board adjourned a meeting on Wednesday without arriving at a decision on restructuring measures.

The company intends to follow the restructuring concept "Viability Plan 6," the full implementation of which would result in the simultaneous closure of its Antwerp, Belgium, and Bochum plants as well the sale of its Eisenach site.

Opel injected EUR190 million ($252 million) of fresh investment in 2011 to expand Eisenach, allowing the site to hike the number of components built in-house. The "Viability Plan 6” was conceptualized during the post-Lehman crisis but was never fully implemented.

Topics: opel, opel corsa, factory

If you liked the article, share on:

Pin It

Comments

Recommended

Top Gear has revealed that for its “Stars in a Reasonably Fast Car” segment, it will now be using a slightly enhanced Toyota GT86, which in the U.S. market is...
by - March 24, 2017
Porsche is laying aside any plans of pushing another hybrid hypercar into their line-up -- at least not at this time. Oliver Blume, Porsche Global Chief confirmed in a recent...
by - March 24, 2017
Since 1993, Lexus has produced 4 generations of the Lexus GS, with the GS F amongst its newest member of the family. Unfortunately, rumors are also heating up that the...
by - March 24, 2017
In a leaked image following a presentation held in China, we learned that Czech automobile manufacturer Skoda will soon unveil 2 more new SUVs in China, resulting in a four-model...
by - March 24, 2017
McLaren is said to be designing the next generation of Sports Series, which could include a V6 hybrid among its powertrain options. It was earlier reported that the British automaker...
by - March 24, 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