Vauxhall Ellesmere Port factory loss would have 'big impact' on Wales

Vauxhall Ellesmere Port factory loss would have 'big impact' on Wales”

Tavares also told the FT that PSA, which also controls Peugeot, Citroen and DS, has already identified "an alternative to Ellesmere Port" in southern Europe.

Vauxhall-owner PSA's chief executive Carlos Tavares told the Financial Times: "Frankly I would prefer to put it [the Astra car] in Ellesmere Port, but if the conditions are bad and I can not make it profitable, then I have to protect the rest of the company and I will not do it".

A proposed move to Europe would nearly certainly lead to the closure of Ellesmere Port, which employs more than 1000 people and has been established since 1962.

The paper reported the move would probably lead to the closure of the site, threatening 1,000 jobs.

"Frankly I would prefer to put it [the Astra] in Ellesmere Port but if the conditions are bad and I can not make it profitable then I have to protect the rest of the company and I will not do it", Tavares told the FT.

Unite, which represents many vehicle workers at the factory, said their work trying to secure new models was now "hanging by a thread", with a no-deal Brexit likely to cause "catastrophic" barriers and tariffs. "For us it's quite simple - we need visibility on custom; that's all", Tavares said.

PSA Group has already said that, starting in 2021, the next-generation of the Opel Astra will be produced in Russelsheim, Germany as well as Ellesmere Port in the United Kingdom, the latter only if the country's exit terms from the European Union means it makes sense for them to continue production there.

Writing in the Sunday Times, Michael Gove said the government is now "working on the assumption" of a no-deal Brexit on the 31 October.

A union has accused Boris Johnson of playing "no-deal roulette" with the livelihoods of thousands of workers after Vauxhall said Brexit threatened the future of one of its United Kingdom factories.

Leaving the European Union without a deal would trigger customs checks and tariffs for importers and exporters.

Motoring experts have warned that a no-deal Brexit would be extremely problematic for the United Kingdom auto industry.

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