Volkswagen, one of the European automakers least-affected by
the economic downturn the Old Continent is facing, has announced that
it will not be closing down any of its factories, despite the fact that
they run the risk of going overcapacity, as demand falls.
The thirty-year low is clearly evident, and other manufacturers have had to take drastic measures to stay afloat, and if they haven`t done so, 2013 and 2014 are the years when they will be doing so.
General Motors, through Opel and Vauxhall, Ford and PSA are among the automakers which have been forced to rethink their strategy, in a major way.
According to VW boss, Martin Winterkorn, the production surplus by the end of the year will reach the three million mark. He said: ” What other competitors are doing with this excess capacity, I don’t know. I can only tell you that we are not reducing capacity at the moment. We’re not cutting back.”
The only ones which may suffer, from within the VW group, are the temporary workers, of which they have 15,000, and some may be forced to go home.
The thirty-year low is clearly evident, and other manufacturers have had to take drastic measures to stay afloat, and if they haven`t done so, 2013 and 2014 are the years when they will be doing so.
General Motors, through Opel and Vauxhall, Ford and PSA are among the automakers which have been forced to rethink their strategy, in a major way.
According to VW boss, Martin Winterkorn, the production surplus by the end of the year will reach the three million mark. He said: ” What other competitors are doing with this excess capacity, I don’t know. I can only tell you that we are not reducing capacity at the moment. We’re not cutting back.”
The only ones which may suffer, from within the VW group, are the temporary workers, of which they have 15,000, and some may be forced to go home.
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