GM Rejects Claims Opel Will Build PSA Models in Germany
General Motors has dismissed speculation that Opel’s Ruesselsheim plant will produce Peugeot and Citroën cars, stating manufacturing is not part of its alliance with PSA.
General Motors has dismissed as speculation a report suggesting its Opel division will begin building Peugeot and Citroën vehicles at the Ruesselsheim plant in Germany. The company said manufacturing is not part of its current alliance discussions with PSA Peugeot Citroën.
The Frankfurter Allgemeine Zeitung had reported, citing unnamed labour union sources, that Opel aimed to produce PSA’s midsize cars in Ruesselsheim as part of a restructuring plan. The same report claimed Opel was considering offering severance packages to cut 1,500 jobs each at Ruesselsheim and at its Spanish plant in Zaragoza to reduce costs.
A GM spokesperson said the press report was pure speculation. According to GM, current cooperation with PSA focuses on logistics, purchasing and engineering, not on vehicle manufacturing or plant sharing. PSA Peugeot Citroën declined to comment on the report.
Current production at Ruesselsheim and Rennes
Opel’s Ruesselsheim factory currently produces the mid-sized Insignia and the Astra compact. PSA’s comparable models, the Citroën C5 and Peugeot 508, are assembled at its Rennes plant in France. There has been ongoing speculation about the future of the Rennes facility, with French union officials pointing to a halved workforce over three years as evidence of possible closure plans. PSA has not confirmed any intention to shut Rennes.
Cost-cutting pressures and job concerns
The report of potential job cuts at Opel’s Ruesselsheim and Zaragoza plants comes amid broader cost-cutting efforts across the European automotive sector. PSA itself has already announced plans to reduce its European workforce in response to falling sales and overcapacity. The French government has previously objected to large-scale layoffs at PSA, highlighting the political sensitivity of job losses in the industry. For more on PSA’s workforce reductions, see PSA Peugeot Citroën to Cut 5,000 European Jobs Amid Cost Pressures.
No official announcement has been made regarding redundancies at Opel’s German or Spanish plants. The company’s statement focused on denying any manufacturing plans involving PSA models rather than addressing the claims of workforce reductions directly.
What the GM-PSA alliance covers
GM and PSA Peugeot Citroën entered into a strategic alliance in early 2012, aimed at sharing vehicle platforms, joint purchasing, and co-developing new models. The companies have repeatedly stated that the partnership does not currently include plans for cross-manufacturing of vehicles or plant consolidation. Any future manufacturing collaboration would likely require further negotiation and regulatory scrutiny, particularly in countries with strong automotive labour unions.
As of June 2012, both GM and PSA are maintaining production of their midsize models in their own facilities. The speculation about Opel building PSA vehicles in Germany remains unsubstantiated by either manufacturer.
