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Birmingham Post
Birmingham Post
Business
Tom Houghton

Vauxhall says it will make next Astra model in Ellesmere Port - depending on Brexit outcome

Car giant Vauxhall has said its new Astra model will be built at its Ellesmere Port plant - depending on the outcome of Brexit.

The plant in Cheshire, which employs 1,000 people, said the site could be one of two across Europe to make the new vehicle - the other being Rüsselsheim in Germany.

The car manufacturing giant said it has been working hard to "turn around the fortunes of the brand", and that it would like to build the new model in Ellesmere Port.

But in a statement released on Thursday, it said the decision will depend on the outcome of negotiations between the UK and European Union over Brexit, and that it may rethink its UK operations after the country leaves.

It has also called for certain union conditions to be met.

Brexit negotiations are currently on hold while the Conservative Party leadership contest plays out, with contenders Boris Johnson and Jeremy Hunt having begun to lay out their plans - and whether or not they are in favour of leaving the union without a deal.

According to Vauxhall, the Vauxhall and Opel Astra are built in Ellesmere Port, which employs around 1,000 people, and in Gilwice, Poland.

The firm says the best-selling car is "still in the middle of its life cycle", with the decision relating to post-2021.

A statement from PSA, the French group that owns Vauxhall, said on Thursday: "Since the acquisition of Vauxhall Motors by Groupe PSA, we have been working hard to turn around the fortunes of the brand and to address the performance of the commercial and manufacturing divisions.

"Groupe PSA has today announced its intention to manufacture the next generation Astra in two plants in Europe.

"The group has confirmed that the Russelsheim plant will manufacture Astra and that it is planned that the second plant will be Ellesmere Port in the United Kingdom.

"The decision on the allocation to the Ellesmere Port plant will be conditional on the final terms of the UK’s exit from the European Union and the acceptance of the New Vehicle Agreement, which has been negotiated with the Unite Trade Union.

"This news demonstrates the continuous effort and commitment of Groupe PSA to Vauxhall Motors."

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