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General Motors Has Unveiled Plans to Temporarily Scale Back Production at Russian Plant

General Motors has unveiled plans to temporarily scale back production at its facility near St Petersburg, Russia.

The proposed plans come in response to a slump in demand in the Russian automotive market.

A General Motors spokesperson was quoted by Reuters as saying that the company plans to operate the facility for four days in August and September.

The auto maker intends to increase the working days to eight in October, the spokesperson added.

The facility currently manufactures Chevrolet Cruze, Opel Astra, and Chevrolet Trailblazer variants.

In 2012, General Motors carried out expansion of the St Petersburg plant. The expansion targeted to increase production capacity to 230,000 vehicles by 2015.

Passenger cars and light commercial vehicles sales in Russia decreased by 22.9% in July, according to latest data from the Association of European Businesses (AEB).

AEB Automobile Manufacturers Committee chairman earlier said: "Unfortunately, the contraction of the automotive market continues, picking up speed in July.

"The overall trend is worrisome, and unlikely to improve fundamentally any time soon."

Source: http://greenvehicles.automotive-business-review.com/news/general-motors-to-temporarily-reduce-production-at-russian-plant-220814-4350307
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General Motors to Temporarily Reduce Production at Russian Plant
Topics: Auto Parts