Case to cut output
LOWER demand for farm machinery worldwide, and no upturn anticipated in the short to medium-term, has led the Case Corporation to cut tractor and combine manufacture.
It is reducing planned global production of agricultural equipment by 12% and plans to reduce its worldwide workforce by about 1000 by the end of the year, said a spokesman.
"This reduced demand is due to a combination of lower projected farm income in many of the companys major markets and deteriorating economic conditions in several emerging markets." Those include easter Europe and the former Soviet bloc.
Case expects the North American market to drop by 15% and western Europe by 5%.
It declined to comment on the effects of cut backs on production and staffing levels may have on its Doncaster tractor manufacturing plant in the UK.
• Cases actions follow those of John Deere, which announced last month that it was reducing its production schedules. *