- Stellantis has announced its intention to close their Luton plant in the United Kingdom.
- The facility was slated to begin building mid-size electric vans next spring, but the automaker wants to consolidate production at Ellesmere Port.
- Around 1,100 people could be impacted, but the automaker is promising to assist with relocation for those wanting to move.
Volkswagen isn’t the only automaker eyeing plant closures as Stellantis has proposed consolidating their manufacturing footprint in the United Kingdom. As part of this effort, the company wants to close the Luton plant marking the end of 120 years of production since Vauxhall first established the facility in 1905.
This is a major reversal as, in February, Stellantis announced plans to build the Citroën ë-Dispatch, Peugeot E-Expert, Fiat Professional E-Scudo, Opel Vivaro Electric, and Vauxhall Vivaro Electric in Luton starting in the spring of 2025. Now, the company wants to consolidate production at Ellesmere Port.
More: Stellantis’ Ellesmere Port Plant Shifts Το Electric Future, Focuses On Van Production
Under the new plan, Stellantis would transform Ellesmere Port into an “all-electric, sustainable vehicle hub” thanks to a £50 ($62.7 / €59.8) million investment. This would enable the facility to build the aforementioned vehicles in addition to the small vans – Citroën ë-Berlingo, Peugeot E-Partner, Fiat Professional E-Doblo, Opel Combo Electric, and Vauxhall Combo Electric – it already assembles.
Stellantis said the move could lead to greater production efficiency and supports their goal of becoming the largest light commercial vehicle manufacturer in the world. The automaker went on to note additional benefits including Ellesmere Port’s proximity to a recently constructed parts distribution center.
While nothing is set in stone at this point, Stellantis has begun discussing the proposal with employees and their union. The automaker said they’re “committed to acting responsibly toward its employees in Luton” and will offer an attractive relocation package to those who want to transfer to Ellesmere Port. The company noted hundreds of permanent jobs will be created there, if their proposal is approved.
However, if that occurs, everyone won’t make the move. Stellantis knows this and is promising “comprehensive job support, including opportunities for retraining, for all employees affected.” The automaker also promised to work with other parties to identify new job opportunities for impacted workers.