Chrysler said today that it will be closing its SUV factory in Newark, Delaware and will be cutting one shift at its Toledo, Ohio, Jeep plant. Obviously the moves come due to a slowing global economy and as consumers shift to smaller and more fuel-efficient vehicles.
The Newark plant closure will be effective by the end of 2008 affecting about 1,000 jobs. Chrysler will also layoff about 825 workers at its Toledo plant indefinitely as of December 31st. The Auburn Hills automaker said that it will work with the UAW to handle layoffs in a “socially responsible manner.”
Chrysler builds the Dodge Durango and Chrysler Aspen SUV at the Newark plant which was originally scheduled to close at the end of 2009. Toledo is responsible for the Dodge Nitro and Jeep Liberty. Sales of the Nitro are down 46 percent this year while Liberty sales are down 21 percent.
Source: Detroit News