Expert reveals truth behind mysterious Luton car factory shutdown
British car-making faces shake-up as Stellantis closes its Luton facility. Industry insider points to company-wide problems rather than government rules as real cause for shut-down
The shut-down of Stellantis-Vauxhalls Luton plant isnt related to UKʼs zero-emission rules‚ despite company statements suggesting otherwise. Andy Palmer‚ ex-Aston Martin chief points out: “Its weaponised lobbying‚“ explaining how the company might be trying to get tax-payer support
The less kind interpretation is that it has chosen a convenient moment to blame the Government for a closure that was going to happen anyway. Luton has been on death row for 25 years
The multi-brand giant (including Fiat Peugeot and Chrysler) faces world-wide issues: French production down by 20%‚ US sales dropping over 40% last quarter‚ and Turinʼs e-car making paused. Their problems started with slow e-car development - “PSA had its head in the sand for a long time‚“ notes Palmer
The Luton facility makes fuel-powered vans‚ with 70% going to Europe - not even subject to UK rules. Next years plan included e-van production; closing an e-car plant because of e-car rules doesnt make sense. Instead‚ the company moves e-car work to Ellesmere Port showing trust in UK manufacturing
Other car-makers show better progress with e-cars:
- Mercedes at 25.3%
- BMW reaching 24.9%
- Volvo hitting 37.3%
- Tesla and BYD near 100%
The industry wants govʼt support not mandate cancellation: better charging spots lower taxes and fleet-car benefits. Meanwhile Chinese makers develop new cars 3x faster with better tech - thats the real challenge for European car-makers
