Fleet News

General Motors signs first global supply deal

GENERAL Motors has signed what is believed to be the first global preferred vehicle supply deal with long-standing Vauxhall customer Honeywell Control Systems. The groundbreaking arrangement makes GM the preferred supplier of vehicles to Honeywell's 12,000-strong worldwide fleet, of which 1,200 are in Britain. Marques covered by the deal include Vauxhall in the UK, Opel in continental Europe, Saab in Scandinavia, Cadillac and Chevrolet in North America and Holden in Australia.

The three-year deal was brokered by Honeywell's UK accounting services manager Eddie West, his counterparts in the USA and Europe and General Motors fleet sales chiefs on both sides of the Atlantic. It is symptomatic of a growing interest in pan-European and even wider-ranging supply contracts as blue-chip multinationals seek to match their fleet arrangements with their global purchasing footprint.

Although the contract allows local operations to buy other marques to reflect the strength of national manufacturers in their domestic markets, it is believed the strength of the overall package will ensure GM dominates Honeywell's fleet mix in most countries. The new deal, which goes live in January, is the culmination of four years of preparatory work and almost a year of negotiations.

Vauxhall fleet director Mike Bonner said GM had set up the infrastructure to deal with clients on a global scale in response to rapidly increasing demand from major fleet clients on both sides of the Atlantic.

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