Monday 28th September 2009

Porsche Wants Out Of Magna Contract

Opel purchase may cost Magna a deal to build Boxster and Cayman - but it could be Karmann's lifeline

Boxster could move from Magna to Karmann
Boxster could move from Magna to Karmann
Porsche is looking to pull out of a contract with Magna to build the next-generation Boxster and Cayman in the wake of the Canadian firm's purchase of Opel from General Motors.

The Boxster and Cayman had been earmarked for production at Magna's Austrian plant in Graz from 2013, but VW's takeover of Porsche and Magna's control over Opel now means plenty of potential for conflicts of interest - and VW understandably wants to keep Porsche production and development costs secret.

Volkswagen boss Martin Winterkorn has also hinted that a Magna-controlled Opel could force VW to end its partnerships with Magna.

Karmann could also make  VW's new roadster
Karmann could also make VW's new roadster
Although the loss of Porsche contracts would be a major blow to Magna's finances, it could mean a lifeline for historic coachbuilder Karmann, which could get the nod to build the new Cayman and Boxster.

Porsche currently builds its entry-level pairing at its own Zuffenhausen facility, but some Boxster production has occasionally been outsourced to Valmet in Finland.

If Karmann does win the Boxster contract, it could literally save the Osnabruck firm, which recently filed for bankruptcy protection. VW also has close historical ties with Karmann too, and it's a strong possibility that the forthcoming VW BlueSport roadster could be built by them, too.

Author: Riggers

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23 comments on this story

Last comment was by nickfrog
on 30th September 2009