Adam Opel GmbH unit has decided to close its Astra assembly plant in Antwerp, Belgium, eliminating 2,300 jobs, according to Reuters. The Flemish government and General Motors Co., which owns Opel, declined to comment. Opel is not expected to reveal details about its turnaround plan until February.
Speculation that the Antwerp plant would be closed surfaced nearly a year ago—months before GM decided to sell control of Opel.
Opel’s favored buyers, Magna International Inc. and OAO Sberbank, indicated last summer they intended to shut down the Belgian facility. After GM decided in November not to sell Opel, it signaled that it planned to cut 8,300 jobs in Europe and described the Belgian plant’s future as “uncertain.”
Opel CEO Nick Reilly has said he wants to let GM Daewoo produce Opel’s future subcompact SUV in South Korea, rather than Antwerp. Daewoo will develop GM’s next-generation small-car platform, code-named Gamma, which will be used for future Corsa hatchbacks and Meriva multipurpose vehicles.
Opel hopes to attract €2.7 billion in aid from European governments to help its turnaround. The EU has repeatedly warned both the company and countries that host Opel/Vauxhall plants that promises of aid cannot be contingent upon job guarantees.
Yesterday British Business Secretary Peter Mandelson said the U.K. is prepared to make a “major investment” in Vauxhall if GM pledges to continue producing vehicles in the country.


