AN all-electric Corsa will spearhead Vauxhall’s electrification plans as the Brit firm’s new French owners reveal path to profitability.
The Luton-based car manufacturer says it will electrify everything in its range, with an all-electric or plug-in hybrid available alongside traditional internal combustion engines by 2024.
By 2020, the brand is targeting four electrified models, including an all-electric Corsa hatchback and a plug-in hybrid Grandland X SUV.
Groupe PSA, which bought Vauxhall and its sister brand Opel in February 2017 and runs Peugeot, Citroen and DS Automobiles, has also revealed its plans to make Vauxhall profitable by 2020.
It is targeting a recurring operating margin of two per cent by 2020, increasing to six per cent by 2024. One way this will be achieved is by reducing manufacturing costs by €700 (approx. £620) per car.
Costs will also be reduced across the business by using existing PSA technologies, such as vehicle platforms and engines, which will be integrated into Vauxhall factories.
There have been fears for the manufacturer’s UK factory at Ellesmere Port in Liverpool, but the profitability announcement made it clear the plan is to keep existing sites open.
The statement said: “The plan is designed with the clear intention to maintain all plants and refrain from forced redundancies in Europe.
“The necessary and sustainable reduction of labour costs shall be reached with thoughtful measures such as innovative working time concepts, voluntary programs or early retirement schemes.”
Opel CEO Michael Lohscheller said the plan would “unleash our full potential”, adding: “This plan is paramount for the company, to protect our employees against headwinds and turn Opel/Vauxhall into a sustainable, profitable, electrified, and global company.
“Our future will be secured and we will contribute with German excellence to the Groupe PSA development. The implementation has already started with all teams eager to achieve the objectives.”