As unsold cars and trucks pile up in the dealer’s lots and salesmen sit idle in the showrooms, Chrysler has decided to shut down all 30 of its manufacturing plants for at least a month starting Dec. 19. This is the company’s attempt not only to conserve cash, but to try and adjust the production to more closely fit demand. Both Ford and GM are making similar “adjustments”.
Ford said it will close down all of its North American assembly plants for the first week of January, and GM has delayed a new engine factory for the electric Chevy Volt. The $370 million Volt engine factory in Flint, Michigan will still be up and running and pumping out those little plug-in hybrids by 2010 as promised, according to GM.
In it’s official statement, Chrysler said operations won’t resume until Jan. 19 at the earliest, although they didn’t say if output would resume at full capacity then, or if it’ll take a cut. There will most likely be a pretty significant cut.
As for Ford, the one company that is not seeking federal emergency loans, of 15 assembly plants in North America, 9 are closing temporarily; 3 are unaffected; and 3 more are being retooled.