Opel Confirms Mokka Production in Spain, Increases Capacity in South Korea As Well

The Opel/Vauxhall Mokka is selling like hot cakes, which is why GM has made the decision to build the small crossover in Europe as well. The U.S. carmaker has chosen the Zaragoza plant in Spain for the job, with production of the Mokka to start there in the second half of 2014. Surprisingly, GM’s decision does not affect Mokka production in South Korea, at least not in a negative way. Quite the contrary, due to high demand for the crossover model, additional capacity will be created at the same time at the plant in Bupyeong (South Korea), the only facility that is currently building the Mokka. During the first phase, GM will invest $80 million (€62.3 million) in Zaragoza for production. The initial European production will be based on CKD-kits (Completely Knocked Down), with parts being shipped from South Korea, but GM says localization will gradually increase. The decision will also help maintain 5,800 jobs at Opel’s Spanish plant, which is currently manufacturing the Corsa and Meriva. “The decision for Zaragoza follows our company’s strategy of building vehicles where we sell them. The enormous demand for the Mokka underlines the attractiveness of our vehicles, adds momentum to our product offensive and secures jobs in Europe,” said Opel CEO Dr. Karl-Thomas Neumann. Since its launch in the summer of 2012, the Opel/Vauxhall Mokka has ranked among the three best-selling SUVs in several European markets. By Dan Mihalascu