Tuesday, May 12, 2009
Business Secretary calls for clarity over Vauxhall's future
Business Secretary Lord Mandelson says he wants 'early clarity and decisions' about the future of General Motors Europe amid growing concerns for the 5,000 staff employed in the UK by subsidiary Vauxhall.
Lord Mandelson met with German ministers last Thursday (May 7), who have already held talks with Fiat bosses on the possible acquisition by the Italian manufacturer of GM and its subsidiaries.
Earlier this week it was reported that German ministers had laid down many conditions on the future of Vauxhall sister company Opel in the event of a Fiat deal.
Lord Mandelson said: "Laying down exclusively German conditions for the company's future is no more acceptable than saying exclusively British interests have to predominate."
He continued: "The British Government will keep an open mind but workers at Vauxhall's UK plants want to be reassured about their future."
Fiat and Canadian parts manufacturer Magna International are said to be leading the battle to buy all or part of GM.
Concerns have also been raised by the Italian Government over possible Fiat plant closures if the manufacturer is successful in its negotiations. It is believed that Fiat is also keen on acquiring GM operations in South America and South Africa as well as across Europe.
DATED: 12.05.09
FEED: AW
