Old GM plant could start making EVs.
Sanjeev Gupta, touted as the saviour of the British steel industry, will launch a bid for GM’s South Australia plant, to break into the EV manufacturing sector. This development was revealed in a letter sent by the South Australian state treasurer to General Motors.
After having taken over the Whyalla steelworks, Gupta’s trained his eye on the manufacturing facilities that Holden very recently shuttered, with the potential to bring auto manufacturing jobs back to Adelaide. SA Treasurer Tom Koutsantonis said that GFG Alliance, the company that Gupta heads, recently sat down with state government officials to outline a plan to acquire some of the assets that GM will be putting on sale in the near future.
*Mr. Sanjeev Gupta
“Mr. Gupta and the GFG Alliance already manufacture motor vehicles in the United Kingdom, including elite motor vehicles for motor sports and road bikes. They’re keen to manufacture and saw this as an opportunity, I understand, to purchase some equipment from General Motors Holden from a site that’s now closed down. What Mr. Gupta is realising, like the rest of the world, is that electric vehicles are the way of the future.” — Tom Koutsantonis, State Treasurer, South Australia
We reported previously that developer Pelligra Group would be buying the GM Elizabeth plant and redeveloping it into a business park. However, that won’t happen until after the plant is decommissioned, which is expected to be sometime in 2019.
The GFG Alliance has a partner in Gordon Murray Designs, and it’s understood that should the acquisition go through, GFG will be looking to commercialise and produce vehicles using technology from the design and engineering firm.
On the subject, the Federal Energy Minister has lauded the proposal to bring automotive manufacturing back to South Australia.
*Mr. Josh Frydenburg, Federal Energy Minister
“[Gupta] has some exciting plans for South Australia, and if he wants to invest in creating more jobs in this country, then of course we would always welcome that. I don’t know how advanced these plans are, but he’s proven himself internationally as an entrepreneur who gets results.” — Josh Frydenburg, Federal Energy Minister
GM’s assets in Elizabeth will be sold at a global auction taking place at a later date. What we know for certain presently is that the site will be turned into the Lionsgate Business Park, named in commemoration of the manufacturing facility that’s been there since 1948, and will feature the Redline Museum (dedicated to the history of Australian automotive manufacturing), as well as a Holden parts warehouse.
Stay tuned to CarShowroom as we bring you more updates as they come.
