Comment: It’s carmaking, Jim, but not as we know it – Grenadier turns industry logic on its head

Ian Henry

Led by Jim Ratcliffe, chemicals company Ineos – which also has interests in cycling and football – is now diversifying into the automotive industry. But the economics of its project to build a successor to the Land Rover Defender are questionable in terms of the logistics and also the current trading environment faced by Brexit Britain… 

Ineos has decided to make the Grenadier in an unusual dual location arrangement: partly in Portugal and partly in Wales. From the limited information released so far, we have learnt that Ineos will assemble – and paint – the aluminium bodies for its new SUV, along with the steel ladder frames, in Portugal. These large and bulky parts will then be transported to Wales, though it is not yet known whether this will be by boat or by road and rail, nor the routes to be taken.

As well as shipping a great deal of air, something which is questionable both economically and environmentally, the company will have to ensure that it packages the painted bodies and frames in a manner which protects their costly paint while in transit to Wales. Reworking painted bodies would be time-consuming and expensive, as well as avoidable with a different manufacturing arrangement.

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