Opel set to close production plant in Germany

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Opel set to close production plant in Germany

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Opel’s production plant at Bochum in Germany is set to stop production in three years’ time. The loss-making German arm of General Motors will end making cars there in 2016 but pledged to keep it running as a parts distribution centre employing up to 600 people.

The company’s board announced the decision to the plant’s 3,000 workers at a meeting. Management said it had made rigorous efforts to rescue car making at the plant but with the decline in the European car market and overcapacity they had come to nothing.

A drop in demand for the Zafira model which is made at Bochum has already hit the plant with management and workers in talks over cutting production by about half.