From Automotive News:

DCX sees adequate capacity for new car

Reuters / February 16, 2005

TORONTO -- DaimlerChrysler said Wednesday that it has adequate capacity at it Brampton, Ontario, plant to produce the current Dodge Magnum and Chrysler 300 models, as well as the new Dodge Charger, which is scheduled to start production this year.

Tom LaSorda, the Chrysler group's COO, said the automaker sees no need to shift some production out of Brampton as the plant gears up for the new Charger.

LaSorda said combined capacity at Brampton and at Magna International's Magna Steyr facility in Austria was enough to meet its needs.

DaimlerChrysler said last year its Chrysler 300C Touring model for the Europe and the world would be made in Austria this summer.

"That frees up a little more capacity in Brampton, and we feel we'll have enough to meet the demand," LaSorda said in an interview at the Canadian International Auto Show, which runs Feb 18-27. "There will be no third plant for this product."

Production of the performance-oriented Charger begins this spring, and DaimlerChrysler plans to add a third shift at Brampton, or about 900 people, by month's end to support output.

The automaker, which is doing well in Canada with its 300 Series sedans as well as the Dodge Caravan minivan, is widely expected to be the target in contract talks with the Canadian Auto Workers this year.

DaimlerChrysler Canada's sales soared 21.2 percent last month and, despite slightly weaker sales last year, it gained market share in 2004 as it inched up to 13.7 percent FROM 13.4 percent. Contract negotiations begin in late summer.

"If they pick us as a target, just like any other time, we're willing to work with them and work together for a responsible agreement," LaSorda said.

"We'll wait to see. But there are demands on both sides that will need to be heard in what we do, but it's got to be responsible FROM all parties."