GM Considers Retooling Antwerp Plant For Saturns

BRUSSELS November 23 2006; Reuters reported that General Motors Corp is considering building Saturns at its plant in the Belgian city of Antwerp, a spokeswoman said, in a move that could spare workers from reported job cuts.

According to Belgian media, General Motors planned to cut up to 1,000 jobs at its plant in Antwerp, Belgium's second-largest city. German rival Volkswagen this week said it would slash about 70 percent of its workforce in the Belgian capital.

"We have an investigation phase to see if it is feasible to build Saturns in Europe and since Antwerp is an Astra plant then it is one of the possibilities," General Motors Europe spokeswoman Nathalie Van Impe said.

The Saturn brand includes a model similar to the Opel Astra.

Belgian financial daily De Tijd reported Thursday that such a move would be at odds with the rumored job cuts.

Asked about the implications for job security if Saturn production started in Antwerp, she said: "(Job cuts) are not an option in the short term."

She noted however that Astra volumes were falling in Europe and the group was mulling options to deal with overcapacity.

If volume continues to go down, "we will discuss this with our social partners," she said.

GM and it's rival Ford have production facilities overseas in an increasingly globalized automotive industry. At the same time, Japanese carmaker Toyota is poised to knock GM from it's top selling domestic spot. Finally, fellow Japanese carmaker Honda has plants in the U.S.