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VWSA closes manufacturing plant

Sep 01 2010 16:07 I-Net Bridge

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Johannesburg - Volkswagen SA (VWSA) said on Wednesday it has shut down its Uitenhage manufacturing plant due to the strike in the motor industry, becoming the first car maker to do so.

The present industrial action, which started on Wednesday, does not involve workers in the vehicle manufacturing industry but it threatens to constrain the supply of components such as tyres to vehicle producers.

The strike implicates garages, parts suppliers, workshops and dealerships.

Members of Numsa working in the tyre and rubber industry downed tools on Monday.

VWSA said in a brief statement it was regrettably forced to close its Uitenhage-based production plant indefinitely after Wednesday's morning shift.

The plant closure is as a result of the National Union of Metalworkers of South Africa strike in the component industry.

This strike will result in a substantial loss of volume of Polos destined for worldwide right-hand drive markets, as well as Polo and Polo Vivo Models for the local market, the German-owned company said.

Employees will be asked to return to work once the supply of components is resumed, VWSA said.

"The company deeply regrets this unavoidable situation - particularly, as the company was starting to recover from an eight-day motor manufacturing industry wide strike which also severely impacted customer deliveries," it said.

 
 
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