Car manufacturing at the Gorky plant temporarily decreases to a four-day workweek amid decreasing commercial vehicle sales demand.
In a move to adapt to the current market conditions, the Gorkovsky Auto Plant (GAZ) has announced that it will operate four days a week starting from early August. This change comes in response to a significant decline in demand for commercial vehicles, particularly buses, light commercial vehicles, and medium-tonnage trucks.
According to a report by Anna Vasilyeva from GTRK "Nizhny Novgorod", the reduced working week at the plant is designed to better distribute production according to the current realities. The plant's management expects that employees will return to their regular work schedule as soon as the market situation improves.
The decline in sales in the commercial transport market is the reason for the reported change in operation schedule. The market has seen a contraction of 60% in demand for buses, a 30% decrease for light commercial vehicles, and almost 40% for medium-tonnage trucks in the first six months of this year.
This operational change is not unusual in the industry when faced with market contractions. It allows the plant to manage costs, workforce utilization, and inventory more effectively amid a shrinking market for commercial transport vehicles.
While the change in operation schedule at the Gorkovsky Auto Plant does not affect the usual operation of the plant being five days a week, it is part of a broader trend in the Russian automotive manufacturing sector adapting to economic shifts.
The exact region where the Gorkovsky Auto Plant is located is not specified in the report. However, the reasoning behind the operational change aligns with typical industry responses to market contractions and is consistent with known trends in Russian automotive manufacturing. As more precise official statements or data become available, they could provide additional confirmation.
The reduced working week at the Gorkovsky Auto Plant is a strategy to manage costs and workforce utilization, given the significant decline in demand in the commercial transport sector, which is a part of the automotive industry and engages with finance, as the shrinking market impacts product sales. This trend in operation changes is seen across various sectors, including transportation, as industries strive to adapt to economic shifts.
