GM's retreat on Opel deal upsets Europe

• Source: Global Times
• [08:08 November 05 2009]
• Comments

Polish Economy Minister Waldemar Pawlak welcomed Wednesday the decision, saying the move was good for an Opel plant based in Poland.

With GM planning a 3-billion-euro ($4.4 billion) restructuring plan for its European business, however, the European Commission warned that state aid from EU countries under new restructuring plans would again have to meet stringent conditions.

Even so, it was clear that without Magna, large numbers of jobs were still set to go.

In Belgium, home to Opel's Antwerp plant, the head of the Flanders regional government called on GM to spell out where the axe would fall.

While the Spanish government voiced 'surprise" and is ready to negotiate with GM, the worried Spanish unions noted GM's decision was 'causing huge uncertainty" for Opel's more than 7,000 workers there.

AFP