[QODLink]
Europe
Europe's car industry faces tough times
The economic downturn is driving consumers away from new car purchases, forcing companies to downsize.
Last Modified: 25 Oct 2012 17:40

The French government has bailed out Peugeot Citroen with a $9.1bn loan, and in Belgium and the UK, US carmaker Ford also announced factory closures.

Thursday saw talks between the French state and the carmaker Peugeot over the loan. In return for the bailout, the government wants a position on the firm's supervisory board alongside a workers' union representative, with the aim to avoid huge job cuts that will be all the more damaging with unemployment already over 10 per cent.

Ford confirmed it was planning to shut two British sites next year with the loss of at least 1,500 jobs.

Production of the transit van is being shifted to Turkey from Ford's Southampton plant in southern England.

Al Jazeera's Nadim Baba reports from Paris.

122

Source:
Al Jazeera
Topics in this article
People
Country
City
Organisation
Featured on Al Jazeera
An innovative rehabilitation programme offers Danish fighters in Syria an escape route and help without prosecution.
Street tension between radical Muslims and Holland's hard right rises, as Islamic State anxiety grows.
More than one-quarter of Gaza's population has been displaced, causing a humanitarian crisis.
Ministers and MPs caught on camera sleeping through important speeches have sparked criticism that they are not working.
Featured
NSA whistleblower Snowden and journalist Greenwald accuse Wellington of mass spying on New Zealanders.
Whatever the referendum's outcome, energy created by the grassroots independence campaign has changed Scottish politics.
Traders and farmers struggle to cope as restrictions on travel prevent them from doing business and attending to crops.
Unique mobile messaging service, mMitra, helps poor pregnant women in Mumbai fight against maternal mortality.
Influential independence figure has been key in promoting Scottish nationalism, but will his efforts succeed?
join our mailing list