Renault to halt production at Palencia factory in October

Renault has officially confirmed a production halt at its Palencia factory in Spain from October 1 to October 19. The stoppage will result in 11 lost working days. The company stated that the pause is intended to “adjust manufactured volumes to real market needs and contribute to maintaining the competitiveness and efficiency of the plant” in response to demand fluctuations in Europe.

The Palencia facility is responsible for manufacturing the Austral, Espace, and Rafale models. This decision comes at a time when the plant has been operating on a single shift since June.

The trade union CCOO has called for responsibility and calm amidst the uncertainty facing the automotive sector. While acknowledging that technological changes and international competition are causing a period of lower activity, the union emphasized that this should be viewed as a transitional phase rather than a structural loss of employment. CCOO noted a 600 million euro industrial investment affecting both the Palencia and Valladolid plants, which includes a plan for five assigned vehicles.