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GM’s Opel chief shuffles struggling auto-maker

The European car-maker will ramp up export markets and streamline manufacturing operations in Germany.


May 14, 2012
by The Canadian Press

FRANKFURT, Germany: The head of General Motor’s (GM) Opel unit has laid out a plan to fix the money-losing European subsidiary.

Adam Opel AG CEO Karl-Friedrich Stracke told employees Monday the company will push for new export markets in Australia, North Africa, South American and the Middle East and build up its presence in China, Russia and Turkey.

The company is also looking at moving some Chevrolet production to Germany to make better use of plant capacity—a key issue for the struggling mass-market carmaker.

Stracke says the new Astra model would be built at two plants running 24 hours a day. Currently, it is being built at three plants with only two shifts.

He says the company was open to new alliances like the one it recently agreed on with PSA Peugeot Citroen.

The company will stick to its agreements that keep it from closing plants before the end of 2014.

©The Canadian Press.