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Workers will resist plant closure

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16 September, 2001The trade union representing DaimlerChrysler workers in Campo Largo, Brazil, is trying to save 250 jobs.

BRAZIL: DaimlerChrysler workers and their trade union in Campo Largo, Paraná, have said they will organise resistance to the closure of the Chrysler plant, which was announced recently by the transnational carmaker. There are 250 workplaces at the Campo Largo plant, in southern Brazil.
DaimlerChrysler, the world's fifth largest automotive manufacturer, said the decision to close the plant was part of its US$4 billion turnaround plan, including 26,000 job cuts worldwide. The company also claimed it would return the government subsidies it had received to build the plant, said to be somewhere between $39 million to $47 million.
The Campo Largo Chrysler plant produced the Dodge pickup for both the domestic and export markets. It seems, however, that a combination of energy rationing and rising interest rates has led to a sharp cut in growth in Brazil and to most automakers there temporarily suspending production in July and August of this year.