INEOS Automotive announces that it has entered detailed discussions with Mercedes-Benz on the acquisition of its Hambach site
- INEOS has suspended work on new build plans in Wales and Portugal pending the outcome of these discussions
- The COVID-19 crisis has led to significant overcapacity in the European auto industry
- Dirk Heilmann, CEO of INEOS Automotive said, “As a result of COVID-19, new options have become available as an alternative to adding two new facilities to the existing automotive manufacturing capacity”
INEOS Automotive is pleased to announce that it has entered into discussions with Mercedes-Benz over the acquisition of their Hambach site. The site, which is the home of the smart EQ fortwo models, has been recently developed with a new dedicated SUV line, similar in size to the Grenadier, which makes it ideally suited to the production of the INEOS Grenadier.
INEOS is assessing the option to utilise existing capacity within the industry, as an alternative to building its own plants. “Overcapacity has long been a major issue for the automotive sector,” said Dirk Heilmann, CEO of INEOS Automotive. “Of course we considered this route previously, but as a result of the COVID-19 pandemic some new options such as this one with the plant in Hambach have opened up that were simply not available to us previously. We are therefore having another look – and reviewing whether the addition of two new manufacturing facilities is the right thing to do in the current environment.”
“COVID has had an impact on our build schedules,” added Heilmann, “with ground clearing works and construction held up by the social distancing measures that have been required. Safety is of course paramount, but we also have an obligation to do what is right for the business – and so need to assess these new opportunities in order to maintain or improve on our timelines.”
INEOS expects to complete this review of its options in the next few weeks.
Sarah Pelling, PR Manager, INEOS Automotive
+44 (0) 7887 451773 firstname.lastname@example.org
Andrew McLachlan (Media Zoo)
+44 (0) 07931 377162
About INEOS Grenadier
In 2017, INEOS Chairman, Sir Jim Ratcliffe, a car enthusiast and experienced adventurer, identified a gap in the market for a stripped back, utilitarian, hard-working 4x4 engineered for modern day compliance and reliability. INEOS Automotive Limited was formed and a senior team of automotive professionals assembled to bring the vision to reality.
The Grenadier will be a truly uncompromising 4x4 built from the ground up. Engineered to overcome all conditions, it will provide best-in-class off-road capability, durability and reliability to those who depend on a vehicle as a working tool, wherever they are in the world.
On the engineering front, we are now in the series development phase, supported by our engineering partner Magna Steyr, with prototype testing under way. The INEOS Grenadier will go into production in late 2021.
INEOS Automotive is a subsidiary of INEOS Group (www.ineos.com), a leading manufacturer of petrochemicals, speciality chemicals and oil products. It employs 23,000 people across 34 businesses, with a production network spanning 183 manufacturing facilities in 26 countries. From paints to plastics, textiles to technology, medicines to mobile phones, materials manufactured by INEOS enhance almost every aspect of modern life. In 2019, INEOS had sales of circa $61bn.
To find out more about Grenadier, visit www.ineosgrenadier.com.