Volkswagen do Brasil has ordered a 10-day compulsory holiday for 3,400 workers at its Anchieta plant, in São Bernardo do Campo city, São Paulo state.
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The collective holiday will be between 28 August and 6 September and will affect workers who build the export versions of the Brazilian Gol model.
According to the automaker, the compulsory vacation is to adjust output to low demand for the Gol that is nonetheless the most popular Brazilian-made vehicle export.
VW said that this was the result of the continuing strengthening of Brazilian currency against the US dollar that is affecting vehicles exported by all local automakers. The company also is reducing export volume of other cars it makes.
VW now expects to export about 196,000 vehicles this year, down 23% compared with the 256,000 units shipped in 2005.
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By GlobalDataIf the Brazilian real stays at the same level ($US1 = $R2.20) for the next few years, the automaker said, exports will continue to fall to only 156,000 vehicles in 2008.
The Gol is also the best-selling vehicle in Brazil but units made for the local market are produced in VW’s Taubaté plant is not affected by the compulsory holiday for the Anchieta factory.
Rogério Louro
