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PSA Group Announces Plans for Vauxhall/Opel Turnaround

PSA Group Announces Plans for Vauxhall/Opel Turnaround

The French vehicle manufacturing company, PSA Group has revealed their strategy for success with their newly acquired Vauxhall/Opel business. The Group purchased the company for €2.2 billion earlier in the year.

The vehicle manufacturing group has said that they want to keep hold of all of their car manufacturing sites, which is great news for British workers, who have previously been unsure of their future. PSA Group, which also owns Peugeot, Citroen and DS Automobiles made the announcement about their future plans on Thursday.

The manufacturing group has also said that they would be working hard in order to avoid any forced redundancies as a part of their turnaround plans for Vauxhall while still working to make the company as profitable as possible. The group have warned, however, that the British manufacturing workforce could see a number of cost saving measures being enforced in order to turn around the recently acquired company.

PSA Group have spoken about their plans 100 days after they purchased Opel and Vauxhall from General Motors. The managers of the manufacturing group have announced the outline of plans that will see the company become profitable again by 2020. The company has also announced that they plan to have all of their passenger car lines electrified by 2024.

It is thought that a part of these proposals will lead to a number of Vauxhall and Opel models be transferred to PSA Group platforms. One of the results of this will be a new Corsa supermini that is expected to launch in 2019. The reduction in the number of platforms with this move as well as the launch of two brand new brands that will be launched in 20 new markets such as Argentina, Saudi Arabia and Taiwan is another part of a long term plan for PSA to turn Opel and Vauxhall back into a profitable business. Hopefully these ambitious plans will help the manufacturing group to limit the enormous losses that are pouring from the recently acquired car firm. It has been calculated that these losses stood at £190 million in the second quarter of this year alone.