Vauxhall loses out in Europe 0

It comes as no surprise that Vauxhall have made a loss for this year’s first quarter. Total losses were reported at $300 million during this period. That’s a dramatic downfall considering that within the first quarter of 2011 saw Vauxhall break even. These results were revealed as General released their first quarter results.

Will the Ellesmere Port Factory stay after all?

With such tremendous losses seemingly holding the company back, General Motors may consider a U-Turn on recent reports that they could be keeping the Ellesmere Plant open. Will the world’s biggest car producer decide to shut down factories in Europe?

Peugeot Citroen alliance

In order to avoid such action, General Motors have joined forces with Peugeot Citroen, who themselves are a struggling European brand who producing more cars than are currently demanded.

Production of Chevrolet European based vehicles

One possibility is that of potentially using producing European based Chevrolet vehicles, another one of General Motors brands. This would help full up the capacity so demand is being met fairly amongst all brands.


Opel’s Bochum factory based in Germany has been another plant which has faced as much scrutiny as the Ellesmere Port factory. They have been under long consideration for closure following a great deal of cost cutting plans from General Motors.

Money being made in America – Major losses in Europe

General Motors European losses read out as a stark bit of contrast when comparing the company’s North American success. In the first quarter alone General Made a profit of $1 billion which is a satisfactory result when comparing to the circumstances of the same period in 2011.

Sales figures hit an outstanding $37.8 billion which represents an increase of $1.6 billion from the first quarter in 2011.

The General Motors Chairman, Dan Akerson said  “The US economic recovery, record demand for GM vehicles in China and the global growth of the Chevrolet brand helped deliver solid earnings for General Motors. New products are starting to make a difference in South America, but Europe remains a work in progress. We’ll continue to work on both revenue and cost opportunities until we have brought GM to competitive levels of profitability.”

Following the release of the results, there have been no comments made from General Motors regarding the future of their European based brands. Their future remains unknown. We hope that the Ellesmere plant will remain.