Opel: German plant to end production by end 2014

AP News
Posted: Apr 17, 2013 10:32 AM

FRANKFURT, Germany (AP) — General Motors' loss-making Opel division has confirmed it plans to end production at a plant in Germany by the end of 2014.

Adam Opel AG said Wednesday in a statement that the Bochum plant would wind down production as part of its plan to reduce costs and turn the division around. The plant's 3,200 workers make the Zafira compact.

The plant's closure has been expected since workers there rejected a compromise restructuring that would have extended some production.

GM has vowed to turn around Opel and last week said it would invest another 4 billion euros in the unit. It and other makers of mass-market vehicles are struggling to turn a profit in a market marked by fierce competition, weak prices and slumping demand due to the eurozone debt crisis.