GM's Opel 'is back', says chief executive

10th September 2013, Comments 0 comments

Opel, the loss-making German unit of US auto giant General Motors, "wants to prove that it's back," its chief executive Karl-Thomas Neumann said Tuesday.

After long years of being in the red, Opel aims to return to profit in 2016, Neumann told reporters on the sidelines of the IAA auto show which opens this week.

"Stabilisation is our primary objective," he said.

"We've stabilised our losses and defended our market share in a declining market. We want to do better this year than we did last year," Neumann said.

He acknowledged that Opel was suffering from overcapacity.

"There's overcapacity in the entire sector," he said.

Shutting down a factory, as Opel plans to do with its plant in Bochum in western Germany at the end of 2014, was one of the most difficult decisions a carmaker could take, Neumann said.

But new models, such as the Adam or the Mokka, are also going to help Opel turn the corner, he said.

Opel hopes its new concept car, the Monza, will turn heads and create a buzz at this year's IAA.

© 2013 AFP

0 Comments To This Article