Ineos forced to shut down production on supplier issue

Media starting to break that production of the IG is going to be paused until 2025 due to financial troubles at one of its suppliers.

The UK dealers were just told and mine told me today but I didn't post anything until I saw it starting to appear in the media. I cant see behind the paywall but I wonder if this is recaro?

 

[Znarfgh]

Quoted from the press release:

"The company plans to maintain full production during the insolvency proceedings to continue fulfilling all existing orders and new customer inquiries."

 

[AWo]

Maybe Ineos just doesn’t order enough seats because of the lower than expected production rate. If they lowered their orders and therefore don’t sign a bigger order now that could explain the situation of Recaro as well.
Recaro maybe just needs a higher volume than Ineos can provide now. Don’t you think so?

In general yes. You'll find the sales numbers from some key markets here, except Australia

They never reached the numbers requested from suppliers, not in 2023, not in 2024. 2023 not even 50% were reached, 2024 we'll see around 10.00 to 15.000 units worldwide. Come on, be serious, if the best running market the US (statement of Lynn Calder) saw a sale of 4956 units up to September, my assumption is feasable.On the other hand there are many expensive problems and in the beginning expensive measurements to mitigate them.

In short words....sold too less cars while asked for too much parts and beside other costs around 1.500 employees to feed (Recaro Automotive has around 250).

Saying Ineos saw the writings at the wall for Recaro and stops tĥeir own production, loosing a key part, while starting in an absolutely key market, (China) that is not feasable. If Ineos Automotive is such a clever, powerful and potent company money-wise, as often claimed here, they would have sat together with Recaro and talk together how to get that solved. Simply to keep things running and not to harm their cash flow and production. You do not just jump off and break your own leg. In the meanwhile they could have started looking for other seat supplier.

As I wrote here already about the history of Recaro they had not one customer, except Ineos, that fits their whole range with their seats. They had financial trouble the last two years (known to automotive people, media and visible via company reports) and their owners forced them to produce performance seats only. That kicked them our of the mass market and they more and more relied on the sale of spare parts.If VW and Audi rejected, that is bad, yes. But the volumes were low due to what I just wrote. It was clearly stated that they need an(other) Ineos. Another question arises here...if the writings were at the wall...and that was already the case years earlier, why has Ineos choosen them for such an important part? A clear management failure to go with that risk. Companys incl. Ineos do financial checks before they start with a new supplier already for less important parts and smaller volumes. What has happened here? Why was that overseen? And by looking at the car you find more cost driving wrong tactical management descisions, visible to everyone, you do not need to be an internal guy for that.

That all has nothing to do with how much you love your car and love to drive it, if it is good or bad. That is a step back driven by common sense without an emotional view on it. Because I do not own one but was involved in that project since May 2016 for about 4 or 5 years, I can have this kind of unemotional view.

Owning and driving a Grenadier does make you a car specialist, but you do not need that to know Ineos.

AWo

 

[Dual Grenny Guy]

In general yes. You'll find the sales numbers from some key markets here, except Australia

They never reached the numbers requested from suppliers, not in 2023, not in 2024. 2023 not even 50% were reached, 2024 we'll see around 10.00 to 15.000 units worldwide. Come on, be serious, if the best running market the US (statement of Lynn Calder) saw a sale of 4956 units up to September, my assumption is feasable.On the other hand there are many expensive problems and in the beginning expensive measurements to mitigate them.

In short words....sold too less cars while asked for too much parts and beside other costs around 1.500 employees to feed (Recaro Automotive has around 250).

Saying Ineos saw the writings at the wall for Recaro and stops tĥeir own production, loosing a key part, while starting in an absolutely key market, (China) that is not feasable. If Ineos Automotive is such a clever, powerful and potent company money-wise, as often claimed here, they would have sat together with Recaro and talk together how to get that solved. Simply to keep things running and not to harm their cash flow and production. You do not just jump off and break your own leg. In the meanwhile they could have started looking for other seat supplier.

As I wrote here already about the history of Recaro they had not one customer, except Ineos, that fits their whole range with their seats. They had financial trouble the last two years (known to automotive people, media and visible via company reports) and their owners forced them to produce performance seats only. That kicked them our of the mass market and they more and more relied on the sale of spare parts.If VW and Audi rejected, that is bad, yes. But the volumes were low due to what I just wrote. It was clearly stated that they need an(other) Ineos. Another question arises here...if the writings were at the wall...and that was already the case years earlier, why has Ineos choosen them for such an important part? A clear management failure to go with that risk. Companys incl. Ineos do financial checks before they start with a new supplier already for less important parts and smaller volumes. What has happened here? Why was that overseen? And by looking at the car you find more cost driving wrong tactical management descisions, visible to everyone, you do not need to be an internal guy for that.

That all has nothing to do with how much you love your car and love to drive it, if it is good or bad. That is a step back driven by common sense without an emotional view on it. Because I do not own one but was involved in that project since May 2016 for about 4 or 5 years, I can have this kind of unemotional view.

Owning and driving a Grenadier does make you a car specialist, but you do not need that to know Ineos.

AWo

You said “Because I do not own one but was involved in that project since May 2016 for about 4 or 5 years, I can have this kind of unemotional view.”…...so I now have to ask you, what was your involvement? Were you an employee of Ineos, part of the design or testing, etc? You brought it up & I would like to know your insight into all of this, so please tell. Btw, to me at least, some of your post do sound a little emotional. Maybe I am reading more into it?

I promise I am not trying to be argumentative or judgmental, but I do have the right to not agree with you on some things. You stated “Owning and driving a Grenadier does make you a car specialist,”, to which I do 100% agree. I have owned and worked on MANY cars in my lifetime (in my younger years swapping out engines from one car to another & if anyone has ever done that once knows the work involved & I have done it several times) and while I may have never been in the car industry per se (paid mechanic, designer, salesman, etc etc), I think my experience as a owner/driver and home repairs makes me plenty enough a car “specialist”. I might not sit on any board at Ford/Chevy/etc, or be a paid employee of any of the car manufacturers, but I don’t think that is the only way someone can be a “specialist”.

We don’t disagree on everything as I have posted before my thoughts on the shut down (Ineos not selling enough units and could be trying to drum up interest again by selling off all remaining inventory and creating a new demand for 2025), and it wasn’t positive towards Ineos. This coming from someone who owns TWO Grenadiers, and plans on owning a THIRD when the Quartermaster finally hits the USA to which I believe will happen in 2025. I will say this one more time. I do not know Sir. James personally, but from all I have read and heard about the man, he is a very wealthy and very smart man and most importantly he does not like to lose at anything. Thus, I do not see him letting this company close up and fail as would be a stain on his name and business acumen. None of us know the real reason behind the temp shut down and never will unless Ineos puts out a detailed statement or an employee with knowledge comes out and tells their story. You can say it’s the poor sales numbers, Recaro debacle, etc etc but really it’s all conjecture. I believe, again my opinion only, he will invest more of his billions and go at it even more in 2025. If not, I will be shown to be wrong and will eat crow. Regardless of the outcome, I will still own TWO BAD ASS vehicles that I will keep until I die. No one, no matter what they write about this vehicle, will change the joy mine bring me to own and drive them!! That is a straight up true fact!! There are enough out now to supplement parts for if the business goes under and I am sure someone will work around the computers or other issues without any factory support if that ever happens. There are many vehicles on the road today that are no longer made but get serviced and repaired. I will end on this to which I am very emotional/passionate about…..…..GRENADIER LIFER RIGHT HERE!!!!

P.S. do you know or are you connected or related to MattA or Zimm on this forum?