GM to sever links with Opel/Vauxhall?

[001 Neville]

http://www.carmagazine.co.uk/News/Searc%20...%20l-from-GM/

.... yet again!

[049 Jennifer]

Link tells me page not found... do you think they removed it? Or is it just my side??

[168 Derek S]

http://www.carmagazine.co.uk/News/Searc ... l-from-GM/


GM is considering selling its loss-making European operations, it emerged tonight. If it goes ahead and severs ties with GM Europe, the General would cede control of Vauxhall and Opel, the second biggest car brand in the UK.

And in another extraordinary twist, CAR has confirmed that top-level talks have been taking place between Volkswagen and the German government, which is keen to avoid Opel falling into foreign hands.

Chinese car makers are circling but Chancellor Angela Merkel, who has close connections to Volkswagen chief Martin Winterkorn, would prefer VW to step up to the plate as a potential buyer than a Chinese brand.

[020 Brad]

Opel owned by VAG!

[049 Jennifer]

Yeah, that would be so weird...

[001 Neville]

.... VAG evidently know how to run a car business which seems to be more than GM management can do! I'd also prefer VAG over yet more western technology and know-how going to China.

We're already exporting all our industry to China "because it is cheaper" and it will always be that way when they have such a huge population to pay a pittance to.

But when they have a monopoly on many industries like carpet making, and other technologies, they will be able to charge whatever they like, and buy up little countries like NZ! They're already getting into dairying in a big way.

I'm not anti-China, I just wish some of the politicians could look ahead further than the next opinion poll!

[020 Brad]

I can't imagine Opel continuing if it goes to VW. I think they would merge and run a common product, which would probably still be sold as Vauxhall, possibly other brands depending on how much GM sells. But why would VW retain the Opel badge when they already have VW, Audi, Skoda, etc

At least if it went to China they would be buying what Opel is and it would be in their best interest to keep it Opel, keep it quality along with keeping the design and development in the countries it currently is. Sure the plants will be in China, but I don't know how much that would matter on a global scale anyway. As you say Neville, a lot of companies are doing it, so at least it will keep Opel competitive especially when they are looking at going global.

Plus thinking about it more, I think it has been heading this way for some time. Chevrolet has been pushing their own brand into the UK and Europe for a few years now, which is an obvious overlap with Opel. It would appear part of this study has proven that they can make it in these markets without the European branding.

[001 Neville]

I'd be surprised if Chev have anything like a big enough branding/share to compete in Europe. The Europeans (French/German especially) are traditionally very nationalistic, so would be loath to buy a perceived American-based brand over European alternatives such as VAG or Peugeot/Citroen.

I don't think the English would be falling over themselves to buy a 'Chev' either, from feedback on other forums

[021 Chad]

If VAG were to successfully bid for Opel, it may be a hostile takeover in that VW could eliminate the Opel brand completely. It's a textbook case where a company will purchase it's competitor in order to remove them from the market.

If VW does follow through I would be surprised if Opel survived. If I we're VAG I'd take all the considerable R&D and divide the rest, whatever assembly lines cant be converted then they would be sold. It's a very sad outlook but it may be a sign of things to come.

Keep in mind that GM have only just a controlling share in Opel, since the last split they sold off a big chunk of the company. We can only hope that the other shareholders can come up with a controlling interest before the VAG sharks start circling.

[049 Jennifer]

I have to say I'm in 2 minds over this news... in the first place, I think it would be good for a European company to buy Opel and hopefully keep up their levels of construction and drivability... but on the other hand, what Chad said does scare me, that if VAG do purchase Opel, their first line of duty will be to erradicate it... Opel has been around so long I think it would be a crying shame if they did that... but I also wouldn't like to see Opels that look like golfs either!! I suppose we are just going to have wait and see...

[020 Brad]

I suppose we are just going to have wait and see...

Nothing more we can do really.

It always sucks when you put your trust in a Government, but in this case that's exactly what we're going to have to do. It would be in the Governments and the countries best interest to retain Opel as a brand and as a local manufacturer, so lets just hope they Government will at the very least, front up with enough money to keep the controlling share of the company in good hands. At the same time, this may mean no one is keen to purchase a car company that is losing money, as they won't be able to restructure it in a way that will bring it out of the shit. Just look at GM after the first bailout - they just kept doing exactly the same thing and continued losing money until the second bailout, when they were forced to restructure and become financially viable.

[164 Jason S]

positives... imagine a C20let in a golf
Vag buys Opel... and eradicates it, Old opels are now worth a bit more
Vag Buys Opel... Gives them a cheque book and says go crazy.. even better
China shanghai's Opel from the ZA germans... and finally you get a calibra that does'nt
have electrical, heat or weight problems