🤑 It doesn’t get more affordable. Grab this 60% OFF Black Friday offer before it disappears…CLAIM SALE

UK offers Peugeot assurances on post-Brexit auto industry - FT

Published 18/02/2017, 13:02
© Reuters. A Peugeot car is seen parked outside the Opel headquarters in Ruesselsheim
GM
-
PEUP
-
7201
-

LONDON (Reuters) - Britain has offered Peugeot manufacturer PSA Group (PA:PEUP) assurances on post-Brexit trade and supply chains in an attempt to protect Vauxhall car plants after a possible takeover, the Financial Times reported on Saturday.

Business minister Greg Clark met French politicians and PSA executives in Paris on Thursday to discuss their plan to buy General Motors' (N:GM) European unit, Opel, which include Vauxhall plants in Britain.

The talks have set political alarm bells ringing in Britain and Germany, where there are fears that a sale to the French company could lead to heavy job losses.

Clark said on Friday, after the meeting, that PSA executives had "stressed that they valued highly the enduring strength of the Vauxhall brand, underpinned by its committed workforce".

The FT reported on Saturday, citing a person with knowledge of the meeting, that Clark had also made commitments similar to those he gave Nissan (T:7201) last year before it announced it would build two new models in Britain.

Clark promised Nissan that he would ensure more car part suppliers were based in Britain, support training and research into electric and low-emission vehicles, and push for "free and unencumbered" access to European Union markets for carmakers after Britain leaves the EU.

The government has declined to give exact details of its promises to Nissan, citing commercial confidentiality, though government auditors who saw the letter said it did not make the government liable for Brexit-related costs incurred by Nissan.

Britain's business ministry declined to comment on Saturday on whether Clark had made similar commitments to PSA.

© Reuters. A Peugeot car is seen parked outside the Opel headquarters in Ruesselsheim

The FT quoted Clark as saying that he and PSA executives had "talked generally about our commitments and enthusiasm for research in electric vehicles and batteries", but added that the minister did not give further detail.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.