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Fiat to Reduce Punto Output in Italy
Fiat SpA will suspend production at its assembly plant in Melfi, Italy, for about 21 days in December and January because of shrinking demand, Reuters reports.
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Fiat SpA will suspend production at its assembly plant in Melfi, Italy, for about 21 days in December and January because of shrinking demand, Reuters reports.
The Melfi facility, which makes the Punto subcompact, will idle about 5,000 employees during that period. It is unclear how much of the shutdown which includes Dec. 21 to Jan. 13 was already part of Fiat's annual holiday break.
The company has periodically suspended output at its Italian factories throughout 2012. A plant in Pomigliano that makes the Panda minicar is currently idled for two weeks.
Fiat Group's car sales across Europe have plunged 16% year over year to 688,500 units in the January-October period, according to industry group ACEA. Industrywide, demand fell 7% (to 10.7 million units) in that region and 20% (to 1.2 million units) in Italy.
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