#opel

GM has blamed Western Europe location for Opel’s woes, unions, the economy. Opel has a brand crisis, and the crisis is “a self inflicted-wound,” says Christiaan Hetzner, Reuters’ man in Frankfurt, Germany, in an article on why Opel is in so much trouble. “Reputation is seen as the problem, not cars.” The recent attempts to move the Opel brand up-market ripped those old wounds open and could kill the patient.

Tomorrow, Thursday, the management of Opel will present an allegedly comprehensive turnaround plan to its supervisory board, Reuters reports. If GM stockholders expect a big bang to lift their holdings, they will most likely be disappointed. The plan is expected to deliver less and that later. However, it looks like Opel might share pain and plants with PSA Peugeot Citroen.

North Americans already get a “hot” version of the Vauxhall/Opel Astra – it just happens to come with a Buick badge. Perhaps the Gods of the Ren Cen will smile on us and bring us a Verano GS using the Astra VXR’s 2.0L Ecotec engine. Because we sure won’t be getting the oil-burner.

Last Saturday, Opel CEO Karl-Friedrich Stracke wanted to address the workers at Opel’s Bochum plant. All he addressed was 2,000 backs as the workers got up and left.

Did you hear the one about Opel’s latest scheme to stave off disaster? Don’t read this article while driving or operating heavy machinery.

Opel wants to sell 30,000 cars in China – eventually. Or rather “step by step,” as Opel CEO Karl-Friedrich Stracke told Germany’s Handelsblatt today. (Not on-line, therefore via Reuters.) This is not the first time Opel had announced plans for China.

Despite an explicit suggestion from Opel’s own CEO that Chevrolet cars could be built in European Opel plants, GM Korea has shut the door on such an idea.

A day before GM officially announced that the Astra production will be moved to Ellesmere Port, a move that is widely believed to seal the fate of Opel’s Bochum plant, we said that the decision won’t go down well in Germany, and that it will be very tough working with a doomed workforce. The workforce is already getting restive.

Opel chief Karl-Friedrich Stracke was asked to tell his workers unambiguously whether the Opel plant in Bochum will be closed or remain open. Today, Stracke met with workers in Bochum. He told them that no decision has been made – yet.

What was highly probable yesterday is definite: GM will shift production of the Astra compact from Germany to Ellesmere Port, England. Workers at the UK plant agreed nearly to a man and a woman (approval rate 94 percent) to a deal with GM that keeps Ellesmere Port open and that spells the near certain doom of Opel’s plant in Bochum.

Workers agreed to a four-year deal that freezes wages for two years, and that allows only moderate rises of around 3 percent for the following two years, Reuters heard from a source. The source also said:

Tomorrow, Thursday morning, GM will most likely announce that the new Opel Astra will be built at the Ellesmere Port plant near Liverpool, and no longer in Germany. This ends weeks of hard-nosed gamesmanship, where one plant was played against the other.

While GM is withdrawing from Facebook advertising, over in Europe, Opel does the opposite: Opel spent untold budget amounts to hire Orlando Higginbottom, better known as Totally Enormous Extinct Dinosaurs. The hot UK producer, remixer and DJ was hired to flog … clicks to Facebook.

Exports have been mentioned before as a way to help improve Opel’s precarious near-term fortunes, and now one of Germany’s state-level Prime Ministers is throwing his support behind the export plan.

As TTAC’s official reviewer of all things “emerging market cast-offs sent to Canada”, I’ll be busy again in Q4 2012, when I get my hands on a Chevrolet Trax.

A lot of the Opel news seen below emanated from an all hands meeting at Opel’s ancestral home in Rüsselsheim. Opel CEO Karl-Friedrich Stracke explained the restructuring plan for Opel. According to German media reports, Stracke delivered more questions than answers . According to Reuters Germany, “the management of the lossmaking GM subsidiary did not contribute to a heightened confidence of employees.” The impression is that the management has no plan.