Ineos has paused production of the Grenadier for a time after one of its trim suppliers ran into financial trouble. Its CEO Lynn Calder said that it is unlikely to restart production until early in 2025. A critical trim piece is at the centre of the hold up and the vehicle cannot be produced without it.
The company is busy seeking an alternative manufacturer for the trim piece. It comes at a bad time for Ineos, which is on the cusp of launching in the critical Chinese market. It is also set to expand into Mexico.
Ineos needs to spread because sales are down 35 per cent in Europe this year versus 2023. Sales have fallen by two-thirds in the UK as well. Therefore, global expansion into regions where large SUVs are in greater demand is critical for the brand. The stoppage couldn’t have come at a worse time.
Ineos is also planning a move upmarket, while also putting development of its smaller electric Fusilier on hold because of declining global EV sales.
George Ratcliffe, the chief of Ineos for North America explained that the original plan is no longer possible to achieve. At conception the firm wanted to build an affordable, easy-to-fix utilitarian vehicle for farmers because of a gap in that market.
But with the modern world it’s almost impossible to do that, taking into account pedestrian protection rules, CO2 emissions, and various other regulation on vehicles. Hence to be profitable, Ineos has to build more exclusive luxury off-roaders.
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