Volkswagen of America said it will shut down its U.S. car assembly plant for two weeks and idle 1650 workers. The wholly owned subsidiary of Volkswagen A.G. said the facility will be closed for two weeks starting today to adjust inventories. The 1650 hourly workers will be laid off until May 11. Volkswagens sales of U.S.-made cars this year have dropped sharply below last years figures a spokeswoman said. So far this year sales are down nearly 40 pct compared to last year. The U.S. company has sold a total of 13218 U.S.-made cars so far this year down from 21943 during the same period last year. In its most recent 10-day sales period April 11-20 the company sold 30.7 pct fewer cars. It sold a total of 1167 cars during the period against 1683 in the same 1986 period. The spokeswoman also said inventories of Volkswagens cars are running as high as 335 days supply as of April 20 well above the inventory level of 50 to 60 days supply considered acceptable by the U.S. car industry. The highest inventories are on the companys new GT model. Stocks of Volkswagens 16-valve GTI model are 164 days supply. Inventory levels for other Volkswagen models are as follows--Golf gas-powered-87 days Golf diesel-powered 20 days regular GTI-83 days.
VOLKSWAGEN TO IDLE U.S. PLANT, 1,650 WORKERS