Magna Steyr says it will not install a Polish contract assembly facility in Warsaw “for the time being” following widespread local media reports it could manufacture Mini and Infiniti models there from 2015.
“After Magna [was] approached, we have said this was fake news and we are sending [out] a reactive statement,” Magna Steyr spokesperson, senior manager external communications & media relations for Magna International Europe, Lea Treese, told just-auto from the contract assembler’s Graz, Austria, headquarters.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
Speculation has centred on Mini and Infiniti vehicles being built under contract to BMW and Nissan Motor in the FSO plant in Warsaw, currently run by UkrAvto of Ukraine, with deals reportedly being inked later this month with the potential to create up to 5,000 jobs.
However, in a strong rebuttal to just-auto, Magna denied it had specific plans for Poland, although it did leave the door slightly jar for further expansion into eastern Europe, should the economic position improve.
“Magna International confirms due to the uncertain outlook on the European automotive industry and ongoing customer negotiations, the company will for the time being not install a production facility in Warsaw,” said the supplier in a statement. “Our strategy to expand to Eastern Europe is still valid.
“No further details will be disclosed at this time.”
The FSO plant, operated by the Polish state, started vehicle assembly in 1948 making the Fiat 125p and Polonez cars up to 1989.
It was then taken over by South Korea’s Daewoo and, in 2005, by Ukraine’s UkrAvto, which produced Chevrolet Aveo cars for General Motors until spring 2011.
