BREAKING: Ineos in talks with Daimler to build Grenadier at Smart factory

Ineos could shun Wales and Portugal and use plant in Hambach, western France, to become the manufacturing base for the new Grenadier

Britain's newest car manufacturer, Ineos Automotive, will confirm this morning that it is negotiating with Daimler to take over the Smart factory at Hambach, western France, as a manufacturing base for its new Grenadier range of 4x4 vehicles.

The factory would be a replacement for both its proposed chassis manufacturing plant in Portugal and its final assembly plant in Bridgend, Wales.

It is understood that the possibility of doing a deal only arose over the past few days and a major attraction is the fact that Daimler has equipped the Hambach plant fairly recently to build a larger SUV model, alongside the Smart two-seat city cars that have always been its main output. This would suit the Grenadier manufacturing process.

Ineos' official position is believed to be that various new options have arisen since it committed to the deals in Portugal and Wales, and that it continues to investigate them, but that the Hambach deal is the one most likely to be concluded.

Last week the first minister for Wales told BBC News that his team “remain in discussion with the company” over bringing the Grenadier manufacturing site to Bridgend, creating up to 500 jobs.  However, there had been no formal announcement at that point, despite Ineos confirming last year its intention to base the 4x4’s finishing plant near the site of the soon-to-close Ford engine plant in Bridgend.


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