INEOS Grenadier production paused

Issues with supplier could mean factory shutdown will last until early 2025

INEOS Automotive INEOS Automotive has confirmed it has been forced to stop producing the 2024 INEOS Grenadier SUV and Quartermaster ute because one of its chief suppliers was hit by financial difficulties.

It could mean the rugged off-roader won't begin rolling off the production line again until early 2025.

Confirming to Automotive News Europe that production at the former Smart factory in Hambach, France, had been halted INEOS CEO Lynn Calder said the 4x4-maker doesn't expect production to restart until "towards the end of the year or early next year" because it had run out of a specific trim "that we can't sell the car without".

Blaming an un-named supplier's "pre-insolvency situation", INEOS says it is seeking an alternative manufacturer for the trim piece. but the new supplier will not be up and running until late this year.

Timing for the pausing in production comes as the brand was preparing to launch in China, which could become its largest market. Launches in new regions, like Mexico, are now under question.

The latest production crisis comes as the brand suffered a 35 per cent drop in European sales year-on-year, with INEOS delivering only 847 Grenadiers within the region.

As well as rolling out the Grenadier into new markets, INEOS has also been forced to halt the development of its Fusilier EV following the global weakening uptake in electric cars.

In response, INEOS had refocused its efforts on the Grenadier, introducing its Arcane Works bespoke division for greater levels of personalisation in a bid to ramp up the average transaction price for each wagon and ute it makes.

INEOS has also declared that a proper one-tonne version of the Quartermaster ute has been fast-tracked and teased us with the idea of a wild V8, a higher-riding portal-axled version of the wagon and a short-bed Shortermaster ute.

All have been created to raise average purchase price of every vehicle it sells as the brand pushes upmarket, although in Australia last month the rugged 4x4 got $5000 cheaper courtesy of a Tariff Concession Order from the Federal Government.

Related: 2025 INEOS Grenadier gets prices cut

Related: One-tonne payload inches closer for INEOS Grenadier Quartermaster

Related: INEOS Grenadier and Quartermaster V8 shaping up

This article was written by John Mahoney and originally appeared on carsales.com.au