Ssangyong Motor mulls shutting down SUV lines
According to AFP, South Korea’s Chinese-owned automaker Ssangyong Motor said on 13th of November it is considering shutting down production lines for sport utility vehicles due to sluggish sales.
Ssangyong Motor has suffered from slow demand for its flagship SUV models Rexton and Actyon at home and abroad, according to company officials.
“Talks are now underway between management and union representatives to suspend the SUV lines,” spokesman Kim Bum-Suk told AFP.
Schedules had yet to be agreed on, he said. The Seoul Economic Daily newspaper quoted an unidentified union leader as saying the automaker would suspend the SUV lines by the end of next February.
Specialising in SUVs and passenger sedans, Ssangyong is the smallest of South Korea’s five carmakers. Last month its vehicle sales declined 10.3 percent year-on-year to 10,526 units amid sluggish exports.
Ssangyong, whose main plant is at Pyeongtaek, 70 kilometres (43 miles) southwest of Seoul, was acquired by China’s Shanghai Automotive Industry Corporation in 2004.
