Car manufacturer Seat starts production of the new León after investing €800 million in its Catalan plant

Martorell (ACN).- Seat has invested €800 million in adapting its Catalan factory to build the new León car model. The car manufacturer, which is owned by Volkswagen, has started to produce the new Seat León in its plant located in Greater Barcelona, in the town of Martorell. The decision guarantees 1,600 direct jobs and 6,000 additional ones in the related supply industries. It also confirms Catalonia as a hub of the automotive and exporting industry. The new Seat León aims to become the company’s flagship model and a milestone in its commercial and strategic plan for this year. “It has to be the great lever”, emphasised Andreas Tostmann, Seat’s Executive Vice-President for Production, “in order to achieve a greater internationalisation”, which should make the brand profitable again. The third generation of Seat León cars will start to be sold in Germany, Austria and Switzerland in the next few weeks. It will be released into the Spanish market in early 2013 and it will also be exported throughout the world. It will be sold in three different versions: a five-door and a three-door model, and a station wagon car. Seat has increased the Martorell plant’s capacity by 10%, rising to a potential production of 600,000 vehicles per year.

According to Tostmann, the new Seat León’s figures are “impressive”, especially considering the current economic situation. Seat’s Vice-President is confident the new car model will have “plenty of success” in the future. In addition, Tostmann underlined that besides guaranteeing the employment figures in the Catalan factory, the new Seat León should increase the company’s internationalisation levels, which are now around 80% of its global sales.

Objective: increasing exports and being profitable again

Seat’s objective is to become profitable again and to stop being the only brand from the Volkswagen group that has losses in its accounts. “We will have plenty of news in 2013”, stated the company’s Executive Vice-President for Production.

The Chairman of the Seat Workers’ Committee, Matías Carnero, said that he is satisfied with the kick-off of the new Seat León production. According to Carnero, “it is a guarantee for the future”, in order to ensure employment levels at the Martorell plant. For him, producing the new model represents the consolidation, and even the growth, of the factory’s number of jobs, as well as Volkswagen’s commitment to the Spanish car brand.

Sold in the European market and throughout the world

The Martorell factory has started production of the third generation of the hatchback Seat León. It will produce cars to be sold in the European market and throughout the world. In early November, the new car model will be sold in Germany, Austria and Switzerland. In January it will arrive in the Spanish shops. In addition, the new León will also be exported into emerging markets, such as Mexico, where Seat is already selling its Toledo model. The new Seat León will also be sold in China and Russia, where the company plans to enlarge its market share, explained Tostmann.

A €800 million investment to increase Barcelona plant’s capacity by 10%

The company will start producing 200,000 León units per year and increase the figure following demand. The objective is to “saturate” Barcelona’s plant, producing at maximum capacity, said Tostmann. In fact, Seat has invested €800 million in order to adapt the plant to the new León, increasing production capacity by 10%. Now the plant can produce up to 600,000 cars per year, thanks to a new production line, which quickens the car assembly time.

Four new models launched in 2012

Seat foresees ending 2012 producing 350,000 units per year, including all its models. However, the company refused to detail a production calendar regarding its other models. “It will depend on the market evolution”, said Tostmann. In 2012, Seat will have launched four new models: the new versions of the León, Toledo and Ibiza, as well as the small Mii.

The new Seat León, totally redesigned

The new Seat León was presented in the last Paris Automobile Fair. It is a fully redesigned car and it does not look like the previous version. According to Tostmann, the new León is a symbol of “quality and precision”. The new car has LED front lights, being the first one in its category. The new model has more space in its interior, despite being 52 mm smaller and weighting 90 kilos less. In addition, it comes in 3 different versions: a five-door and a three-door model, and a station wagon car.