ID :
171792
Wed, 03/30/2011 - 08:33
Auther :
Shortlink :
http://m.oananews.org//node/171792
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Renault Samsung decides to cut output by 20 pct
(ATTN: UPDATES with more details, additional information from 6th para)
SEOUL (Yonhap) - Renault Samsung Motors Co., the South Korean unit of French automaker Renault SA, said Wednesday it will cut output by about 20 percent from next month due to an undersupply of parts from quake-hit Japan.
The company is said to import up to 18 percent of all parts for its vehicles from Japanese suppliers, largely because of Renault's strategic alliance with Japan's Nissan Motor Co.
Renault Samsung was forced to cut all extra work hours of its employees shortly after the powerful quake and tsunami halted the operation of its Japanese suppliers earlier this month.
"Following the temporary halt of extra work from March 18, the company plans to reduce its vehicle output by about 20 percent for one month from the start of April," Renault Samsung said in a released statement.
"The output will be re-adjusted depending on the resumption of deliveries of parts."
A 20 percent cut translates into an output reduction of some 4,500 units a month as the company sold 271,481 vehicles last year.
The company noted that like other global automakers, it faced difficulties in securing supplies long before the powerful quake and tsunami hit Japan on March 11 due to a reduction of output by auto parts makers following the unfolding of a global financial crisis in late 2008.
Global sales of automobiles, however, rapidly increased from 63 million units in 2009 to 70 million last year, it said.
Renault Samsung said its reduction of vehicle output may lead to a delay of deliveries.
"The delay of deliveries we saw in March may continue in April due to the reduction of output. The company offers its deepest apologies to every customer forced to wait for the delivery of their vehicles due to the unexpected situation," it said.
SEOUL (Yonhap) - Renault Samsung Motors Co., the South Korean unit of French automaker Renault SA, said Wednesday it will cut output by about 20 percent from next month due to an undersupply of parts from quake-hit Japan.
The company is said to import up to 18 percent of all parts for its vehicles from Japanese suppliers, largely because of Renault's strategic alliance with Japan's Nissan Motor Co.
Renault Samsung was forced to cut all extra work hours of its employees shortly after the powerful quake and tsunami halted the operation of its Japanese suppliers earlier this month.
"Following the temporary halt of extra work from March 18, the company plans to reduce its vehicle output by about 20 percent for one month from the start of April," Renault Samsung said in a released statement.
"The output will be re-adjusted depending on the resumption of deliveries of parts."
A 20 percent cut translates into an output reduction of some 4,500 units a month as the company sold 271,481 vehicles last year.
The company noted that like other global automakers, it faced difficulties in securing supplies long before the powerful quake and tsunami hit Japan on March 11 due to a reduction of output by auto parts makers following the unfolding of a global financial crisis in late 2008.
Global sales of automobiles, however, rapidly increased from 63 million units in 2009 to 70 million last year, it said.
Renault Samsung said its reduction of vehicle output may lead to a delay of deliveries.
"The delay of deliveries we saw in March may continue in April due to the reduction of output. The company offers its deepest apologies to every customer forced to wait for the delivery of their vehicles due to the unexpected situation," it said.
