Stellantis to Close Luton Plant Amid Criticism
Stellantis to Close Luton Plant Amid Criticism

Stellantis to Close Luton Plant Amid Criticism

News summary

Stellantis, the parent company of Vauxhall, has announced the closure of its van manufacturing plant in Luton, putting over 1,100 jobs at risk. The decision is part of a broader strategy to consolidate electric vehicle production at its Ellesmere Port facility, which aligns with the UK's strict zero-emission vehicle mandates. Stellantis has been critical of the UK government's electrification rules, arguing that they impose harsh penalties and exceed natural market demand for electric vehicles. Despite the closure, Stellantis plans to invest £50 million in Ellesmere Port and hopes to transfer hundreds of affected employees there. This move reflects broader industry challenges in transitioning to electric vehicles amid environmental pressures and regulatory demands. The company is currently consulting with unions and employees regarding the proposal.

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