Stellantis to shut Luton in wake of UK ZEV pressure

Stellantis is starting trade union negotiations in the UK following confirmation that its Vauxhall production plant in Luton will close after 120 years. The news—a stark reversal of the plan outlined in February 2024 to add a new electric van to the Luton line-up—was presented as a ‘consolidation’ move that brings £50m (US$63m) in fresh investment to Ellesmere Port in Cheshire and will reinforce Stellantis as the UK market leader in sales of electric light commercial vehicles (LCVs). It marks yet another blow to European automotive manufacturing and the second major hit for the UK in less than one week following Ford’s plans to cut 800 UK positions by the end of 2027.

The move, according to a Stellantis announcement, is “made within the context of the UK’s ZEV (zero emission vehicle) Mandate.”