Lotus Cars seeks expansion in production capacity
Lotus announces it is seeking an expansion in its production capacity as it grows its product range.
Group Lotus plc has announced its need to seek manufacturing capacity beyond that already installed at its Hethel, Norfolk facility
Mr Kim Ogaard-Nielsen, Group Chief Executive Officer, commented 'Lotus needs to grow beyond its current production levels in order to meet customer demand and to become a profitable, self-sustaining company. We have exciting new products coming forward and anticipate that demand will be stronger than ever. Production levels need to be raised above current capacity and that means looking at additional facilities'
The decision of where the additional capacity is to be located will not be taken for another year, but levels of investment will most likely mean that the decision will centre around utilising an existing facility.
'The automotive world is already overcapacitised, and from a financial perspective it makes sense to leverage a facility that already exists' said Mr Ogaard-Nielsen 'this will enable Lotus to focus its resources on developing an expanded exciting product range'
This step does not spell the end for the Hethel facility; indeed the company has made a long-term commitment to its employees that manufacturing will remain in Norfolk for the forseeable future.
'Lotus is committed to Norfolk for engineering and manufacturing and this has been communicated to our employees as part of an internal initiative to reduce costs and generate funds for reinvestment in new products' said Mr. Ogaard-Nielsen
This move will strengthen the brand by enabling Lotus to invest in a broader product range, whilst not compromising the quality and engineering integrity of future vehicles.
'It is not unusual for a brand to produce vehicles beyond its traditional home,' commented Mr. Ogaard-Nielsen 'the key is to stay true to the core values and to ensure that quality is consistent with the high levels seen today on the Elise and Exige products. And I'm very confident that we will achieve that'
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