Chrysler to suspend manufacturing

US car maker to halt production for one month amid slump in sales.

    Unions and politicians failed to agree on terms of a proposed $14bn bailout last week [GALLO/GETTY]

    Ford also said on Tuesday it would shut down 10 of its North American assembly plants for an extra week in January due to poor sales.

    Slumping sales

    US vehicle sales dropped 37 per cent in November amid a worsening economic crisis and General Motors and Chrysler are believed to be on the brink of collapse.

    A proposed $14bn government bailout collapsed in the senate last week after politicians and unions failed to agree on its terms and conditions.

    On Monday, the White House again warned that the US auto industry would have to make "concessions" to win a government bailout.

    Chrysler said it had informed the United Auto Workers union, employees and suppliers about its action.

    The company is privately owned, with 80.1 per cent owned by New York private investment firm Cerberus Capital Management LP.

    SOURCE: Agencies


    YOU MIGHT ALSO LIKE

    Learn what India's parties' symbols mean by drawing them

    Learn what India's parties' symbols mean by drawing them

    More than 2,300 political parties have registered for the largest electoral exercise in the world.

    Visualising every Saudi coalition air raid on Yemen

    Visualising every Saudi coalition air raid on Yemen

    Since March 2015, Saudi Arabia and a coalition of Arab states have launched more than 19,278 air raids across Yemen.

    Why did Bush go to war in Iraq?

    Why did Bush go to war in Iraq?

    No, it wasn't because of WMDs, democracy or Iraqi oil. The real reason is much more sinister than that.