Volkswagen to idle parts of plant in central Mexico

• Source: xinhua
• [09:07 June 25 2009]
• Comments

German automaker Volkswagen started to idle parts of its plant in central Mexico Tuesday, local media reported.

Some 3,000 workers at the plant in the city of Puebla would be off work for at most 14 days. They will receive 50 percent of their pay during the first four days and 10 percent during the following 10 days.

The measure, which will run till the end of July, will affect production of Beetle, Jetta and Bora cars, but will not affect Bora Sport Wagen.

The Puebla plant is Volkswagen's only factory in North America and most of the cars it produces are shipped to the United States, Canada and Europe.

Mexico's auto industry has been hit hard recently by the economic recession in the United States, which buys 80 percent of the country's exports, including a substantial number of cars.