Chrysler to hold two week shutdown

Struggling car manufacturer to shut most worldwide production in July.

    Nardelli, left, said the move was to
    boost productivity [Reuters]
    John Miller, a professor of economics at Wheaton College in Massachusetts, told Al Jazeera the move to temporarily suspend operations was a sign the US economy has entered a recession.
     
    Chrysler has been attempting to restructure since private investment firm Cerberus Capital Management bought almost 80 per cent of the company last year.
     
    The US auto market has slumped by a wider margin than most analysts had anticipated last summer, with sales down 13 per cent in the first two months of this year.
     
    Chrysler announced last week that it was shutting a design studio outside San Diego it had maintained since the early 1980s.
     
    Industry closures
     
    The move increases the auto industry's traditional manufacturing shutdowns in July.
     
    Chrysler, General Motors and Ford typically close US plants in early July for vacations and shut individual manufacturing operations at various times to develop new tools when they make car and truck model changes.
     
    Dan Flores, a General Motors spokesman, said the car maker planned to shut its US plants during the first two weeks of July this year as it has in the past.
     
    Ford is also planning a similar two-week shutdown of its North American assembly plants in July, Angie Kozleski, a spokeswoman, said.

    SOURCE: Al Jazeera and agencies


    YOU MIGHT ALSO LIKE

    Interactive: Take a tour through divided Jerusalem

    Interactive: Take a tour through divided Jerusalem

    Take a tour through East and West Jerusalem to see the difference in quality of life for Israelis and Palestinians.

    Stories from the sex trade

    Stories from the sex trade

    Dutch sex workers, pimps and johns share their stories.

    Inside the world of India's booming fertility industry

    Inside the world of India's booming fertility industry

    As the stigma associated with being childless persists, some elderly women in India risk it all to become mothers.