European auto Industry in problem

Ford decision has shaken the people in Europe. It has decided to close three factories in Europe. This will make 5700 people jobless.  The company says it wants to save $500 million in cost this this because car sales is doing down at an alarming rate. This year will suffer a lost of $1.5 billion because of poor demands of cars from consumers in Europe.

News reports say that Renault and G.M are also in trouble. G.M is negotiating wit union so it can close its Opel plant in Germany.

French automaker Peugeot is also in problem and wants to close its plant in Aulnay-sous-Bois. It appears that European economic crisis is deepening. The closure will these plants will create more problems for government who are trying to revive economy and create jobs.