OPEL TOLD TO CULL MODELS, STAFF
Opel has been instructed to reduce the number of models it sells. This comes straight from the top where its new owner Peugeot Citroen is looking to bring the German brand back to profitability, after years of losses under General Motors. Recent Opel products have been excellent, but apparently PSA Groupe has other plans for them. For now we don’t know exactly which models, but it would make sense to cull where PSA’s French brands want to dominate.
While PSA will now be able to enter certain markets where it was quite weak, including Germany, others will be forfeited or weakened further. The three core brands (Peugeot, Citroen, Opel), excluding DS, are pretty much face-to-face when it comes to product, which is exactly why we had questioned this takeover in the first place. Regardless, going forward, all Opel products will be underpinned by Peugeot/ Citroen technologies, from the design, to the chassis, to powertrains and parts. Essentially the only unique bits Opel products will carry, will be their badges.
Part of the change will also come in the form of staff changes. Already in Mzansi we have seen people losing their jobs as a result. Further job losses are expected as PSA cuts labour costs in order to achieve Opel profitability by the end of 2020.
