European car market and that in 2010, it's expected to be 1.5 million vehicles below 2009 levels and almost 4 million below its peak in 2007.
"It is not expected to return anytime soon – if ever – to these peak levels, resulting in significant overcapacity in general and at Opel in particular. To ensure long-term sustainability for the company, Opel needs to reduce capacity by approximately 20 percent," GM said in a prepared statement.
And while GM does not have plans to shut down any other plants or factories in Europe at the moment, the company warned that there will be capacity reductions, job redundancies and/or labor cost reductions.
According to media reports from the Old Continent, GM could slash up to 8,300 of Opel / Vauxhall's 50,000 jobs.