Aston Martin to reduce Rapide production due to slow demand

Aston Martin will reduce the production volume of Rapide saloons so that the output matches its sales. It will cut production to only 1,250 of cars a year or about 25 cars weekly. This is over half of the 2,000 cars initially planned in 2007/08. Several sources imply that volume could even be dropped to 10 per week. However, Aston is insistent that it won’t fall that much. In fact, output of the Aston Martin Rapide was stopped last May.

Right after the weekend of the Royal Wedding, the company sent an e-mail to contractors that it won’t need more parts for the month. Aston revealed last week that it will end an eight-year production contract with Magna Steyr in Austria in mid-2012, six years earlier than anticipated. Aston said that it has served a notice period of one year, as provided in their contract. Aston has yet to discuss the contract terms but according to sources, it could have spent up to £10 million to buy itself out of the Magna Steyr deal.

Several factors affected sales of the Rapide. Since it started production, the luxury car market has slowed. Aston’s sales have gone down by about half since the global economic downturn in September 2008. It’s a totally different market compared to the period from 2007-2008 when Aston was planning the Rapide. Back then, the Gaydon factory in Warwickshire was almost at its maximum capacity. [via - 4wheelsnews]


2011 Aston Martin Rapide