Peugeot has announced an early start to the holidays for workers at its plant in El Palomar. This decision has raised concerns among employees and auto parts suppliers, as it could signal impending layoffs or production stoppages in the short term. Auto parts suppliers, for their part, noted that the company mentioned difficulties in the supply of components and engines, recalling that as early as November the plant had to shut down for two weeks due to supply problems. The measure, reported by A Rodar Post, will be extended until January 5 and generates concern for the future of employment in an automotive market that is clearly cooling. Although the company did not issue an official statement, the media assured that in the factory hallways it is being said that the shutdown will be justified as a period to carry out 'maintenance actions'. However, various sources agree that the real reason would be the need to adjust stocks in the face of falling demand. Source: https://www.infogremiales.com.ar/peugeot-paraliza-la-produccion-un-mes-y-adelanta-vacaciones-en-su-planta-de-el-palomar/ New vehicle registrations fell 3.6% in November compared to last year and more than 30% compared to October, which has led automakers to apply heavy discounts to sustain sales at the cost of their margins. Lower profitability, rising interest rates, and the stagnation of exports have put pressure on the industry, leading various automakers to adjust their levels of activity. However, the duration of the production stoppage of more than five weeks is unusually long and fuels doubts about the stability of the plant where Peugeot and Citroën models are manufactured. The contrast with the other plant of the group, located in Córdoba, deepens the unease: there, where Fiat and Ram vehicles are produced, staff will not start their vacation until December 15, following a more traditional summer recess schedule. The market slowdown is evident. What is of concern is the cooling of local and export sales, which did not grow as expected. By Infogremiales. The decision by Stellantis to advance the holidays and stop production for more than a month at its plant in El Palomar sets off alarm bells among workers and the auto parts sector. They will resume activities on January 5.
