Saab to Stall Production Until August 29th
Saab says that part of the blame belongs to the traditional supplier Summers shutdowns, making the company’s alignment impossible to get into place for the restart. Production is now planned to kick off on August 29th, and Saab say they still have 11,000 orders on hold to fulfill, although they didn’t say how many they’ve lost though the best part of the five months of production chaos .
Earlier this month, Saab signed a binding agreement worth an estimated $350 million with Chinese companies Youngman and Pang Da for joint production and distribution in China. There were no reasons to doubt that the plan to restart production properly for the first time since April would happen as expected. But it won’t, despite what could be as much as $142 million going into Saab’s pockets in the last month.
"I am positive about the progress we made on the payment terms with our suppliers. What we need now is a full commitment on supply of parts into our factory to be able to restart production and secure a stable manufacturing operation. We are now working hard with our suppliers to nail down these plans, commit to a delivery schedule and start building the close to 11,000 cars that we currently have in our order books” Gunnar Brunius, Vice President of Production and Purchasing.