Showing posts with label Valmet. Show all posts
Showing posts with label Valmet. Show all posts

Friday, 23 November 2007

Aston Martin Rapide to be built abroad?

Today's FT had what appears to be a detailed, well-sourced story saying that the new four-door Aston Martin Rapide is likely to be built outside the UK. Four continental European supppliers - Valmet, Pininfarina, Karmann and Magna - are named as possible partners.

The first thing this list tells me is that this is probably not a classical cash-driven off-shoring move. Pininfarina has a great pedigree both as a designer and maker of fully-built cars. Karmann and Magna have also assembled specialist models for prestige manufacturers such as Mercedes, including, in Karmann's case, cars with such challenging features, from a design and manufacturing point of view, as folding metal roofs. Valmet, of course, has produced a very large proportion of the Porsche Boxsters on the road today; as far as I know, nobody has ever suggested that these Finnish-built cars are not as good as their German-made counterparts. On the basis of these companies' track records, I have no doubt Aston will be able to get the Rapide built to the required standard. As I've mentioned here before, some of Karmann's big contracts for fully-built cars are running out over the next year or so, so this company will especially welcome the chance to bid for Aston work.

Free trader that I am, though, I still feel very slightly uneasy about Astons being built abroad, simply because Britishness is such an important part of their identity. Mind you, nobody seems to get too upset at the German Ford-built engines fitted to some of the current models, or the sought-after Zagato cars that have featured in Aston's range in the past.

So if cost isn't the main reason for this possible outsourcing of Rapide production, what is? It looks like capacity constraints at Aston's existing UK facilities are the main reason - the current models are selling very well, and deservedly so.

I think the next UK manufacturing operation to bump up against capacity constraints is likely to be BMW's MINI plant at Oxford, where the new Clubman has joined the standard model and the convertible on the production line. Once again a manufacturer will have to try to judge whether the appeal of a quintessentially British product is likely to be fatally undermined if it is actually built outside the UK (for better or worse, I suspect the answer to that question is a resounding 'no').

Talking of the Clubman, I have now got my hands on this at last, which is the second car I'm testing during a busy two-Verdict weekend. More on that later.

Sunday, 7 October 2007

Karmann in trouble

An interesting story that's been bubbling away over the last week in the German press but hasn't really featured much in English language publications. Karmann, the German coach-builder, has run into a very sticky patch indeed. The company says it needs to cut about 1800 of its 7000 jobs, including about 870 of the 4000 positions at its main Osnabrück site in North-Rhine Westphalia.

So - what's the problem? Well, let's go back to that description coach-builder; that's how Karmann is normally classified but in truth it is something rather more impressive. Like Magna-Steyr in Austria and Valmet Automotive in Finland it is really a contract manufacturer capable of manufacturing complete cars from the ground up - it's just that it does this for other car companies rather than selling those cars under its own name.

Over the years, Karmann has worked with a wide range of automotive groups but its relationship with Volkswagen has always been central to its business. Convertible Beetles were churned out in Osnabrück for decades, and of course, there were the two families of Karmann Ghia coupes in the sixties (not many people realise that there were two distinct model families, but that is an interesting story for another time). More recently, Corrados and Golf convertibles have been built in large numbers too.

Anyway, Karmann says its existing contracts for delivering fully built-up cars will come to an end in late 2008. One problem, according to the German media, is that Volkswagen isn't putting business Karmann's way, a decision that is being put down to Porsche's growing influence at VW; apparently there is bad blood between Karmnn and Porsche that dates back to a legal dispute in the nineties in which Karmann claimed that Porsche was copying its ideas. A further report suggests VW is actually interested in buying Karmann.

I'm not sure where all this will end but the automotive world would be a poorer place without the cars from Osnabrück, so let's hope some better news turns up soon.