Stellantis declares USD3.2B loss due to protracted strikes in US
Date
11/1/2023 3:39:36 AM
(MENAFN) Stellantis, the world's third-largest vehicle manufacturer, disclosed that the protracted strikes that disrupted production at its North American facilities in recent weeks have resulted in a substantial loss of approximately €3 billion, which is equivalent to around USD3.2 billion in revenue.
During the announcement of its financial results for the third quarter of the year on Tuesday, the company revealed that its third-quarter revenue had seen a noteworthy 7 percent year-on-year increase, reaching €45.1 billion (which is equivalent to USD47,6 billion). This figure surpassed earlier estimates of €43.7 billion (which makes up to USD46,1 billion).
The prolonged labor strikes in the United States, spanning a duration of six weeks and primarily revolving around wage increases, were pinpointed as the primary factor contributing to the €3 billion decline in Stellantis' revenue.
Following over a month of strikes that impacted three major automotive giants, namely Ford, GM, and Stellantis, within the United States, the Stellantis Group reached a tentative agreement with the United Auto Workers Union (UAW) just last week.
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