THE Vauxhall Luton factory, currently making Vivaro and Renault Trafic vans, will continue to make Vivaros under new owners PSA Group.
PSA said it wanted additional manufacturing capacity for vans, and that Luton would be able to provide it.
It will bring to and end the joint venture between Vauxhall and Renault
Last year the Luton plant produced 60,000 Vauxhall Vivaro vans. Under the new PSA investment, the plan is to increase volume to 100,000 vans per year.
The new Vauhxall Vivaro will be based on the PSA Group’s modular platform called EMP2, which is used for both cars and vans.
Carlos Tavares, Chairman of the managing Board Groupe PSA, commented:
“Performance is the trigger for sustainability and I would like to thank all stakeholders involved and underline the open mindset of our union partners, as well as that of the UK Government. This is a major milestone for the future of the Luton plant and a key enabler to serve our ambitions in the commercial vehicle market, guaranteeing customers the best offering in this segment.”
The investment, worth £170m, will also create 450 jobs according to Unite, whose General Secretary Len McCluskey, added:
“It is great news that this new product should see van production at Luton for the next 10 years to come.
“This is a very welcome investment in Luton by PSA, and a deserving tribute to a dedicated workforce. It will steady nerves at the plant after years of uncertainty.”
PSA is the European LCV market leader; this latest move, said the company, would strengthen its European position and accelerate its development in the other regions.
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