GFG’s £120 million alloy wheel plant progressing slower than expected: Source

According to a recent report, GFG Alliance’s £120 million alloy wheel plant, which was originally predicted to open early next year, creating 400 jobs, is moving a bit slow on development and planning.

However, Highlands and Islands Enterprise (HIE) interim chief executive Carroll Buxton said company managers assured about the commitments of the economic development quango to the project.

As per the report, HIE’s board recently paid a visit to the smelter, which was saved from possible closure when GFG Alliance bought it for £330 million in 2016, for holding talks with senior management, including operations director Brian King.

Ms Buxton said: “Their plans are moving a bit more slowly than maybe they would have hoped, but they are very committed to the area.

She commented, “They have increased employment at the plant already since they arrived; not huge numbers – 40 – but 40 is still important.”

She added: “They showed us figures for the automotive industry and it has had a downturn in recent years. They are still confident that’s going to recover, but they are saying it is very much uncertainty-related and Brexit is a big part of that.

Nevertheless, the plant is progressing with its plans and still committed to the project, ensured Ms Buxton.

A spokesman for GFG Alliance said: “Naturally, all of our investment plans are shaped by customer demand and we are monitoring developments in the UK automotive industry closely.”