Chrysler has announced it will indefinitely idle its St. Louis-area minivan plant and scale back production of pick-ups. Falling truck sales have hit Chrysler hard. The manufacturer reports sales in this country are down more than 19% this year compared to last year. The minivan plant in Fenton will be idled effective October 31 st . The pick-up plant will drop one of its two shifts at the first of September.
The move is a big blow to the St. Louis and Missouri economy, reducing the number of jobs at the two plants by 2,400 jobs. Bloomberg reported earlier that Chrysler’s majority owner, Cerberus Capital Management, told investors the car maker lost $300 million in the first four months of this year, but that that was $400 million less than expected.