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No plans to cut Astra output: GM Opel

General Motors Corp's Opel unit denied on Tuesday that it was considering cutting back output of its Astra model in Europe.

india Updated: Feb 14, 2006 15:43 IST
Reuters
Reuters
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General Motors Corp's Opel unit denied on Tuesday that it was considering cutting back output of its Astra model in Europe, although it would not rule out such a step if demand faltered.

GM makes the Astra compact in Bochum, Germany, Ellesmere Port in Britain, and Antwerp, Belgium, and all capacity utilisation at all these plants is "satisfactory", it said in response to a newspaper report it was considering reducing Astra output.

"The company reserves the right, however, to align production capacity with customer demand as the model's life cycle advances," a statement added.

Opel works council chief Klaus Franz said that if GM decides at some stage to reduce Astra output, it should do so by adjusting working hours at all three plants.

"I do not see the need to cut jobs here," he added.

GM Europe is in the process of eliminating nearly a fifth of its workforce to help shore up results in a region where it last made a profit in 1999.

First Published: Feb 14, 2006 15:43 IST