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KTM production facility in Mattighofen set for another three-month halt.

Production halted at KTM plant in Mattighofen for 3 months due to lack of parts; additional employee cuts as part of new labor agreement.

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KTM manufacturing facility in Mattighofen temporarily suspends operations due to supply shortage of...
KTM manufacturing facility in Mattighofen temporarily suspends operations due to supply shortage of components for another 3 months. The new labor contract mandates further compensation reductions for workers.

KTM production facility in Mattighofen set for another three-month halt.

Production at KTM's plant in the quaint Austrian town of Mattighofen has met another roadblock, this time for an extended three-month period. Got Pf'ed, that's what KTM's CEO Gottfried Neumeister calls the latest hiccup; and for a good reason.

The ruckus started with KTM's structural overhaul, leading to a delay in procuring essential components. Under the gun for it all, Neumeister is playing catch-up with suppliers, trying to ensure critical parts are on hand once the plant cranks back up again on May 1st.

As of May Day, a new labor agreement kicks in: the summer break will slide into July, and employees will work 30 hours a week, translating to slashed wages. The gleam in Neumeister's eye? Job security. But while the CEO and union remain cheerful, Mattighofen's mayor Daniel Lang (ÖVP) isn't buying it—the nagging anxiety over the company's future is palpable, says the old town's mayor.

In the buzzing world of motorcycle manufacturing, KTM has faced a double whammy. After a plant closure starting December 2024, production resumed on March 17, 2025, albeit temporarily, using scant supplies. But when these dwindled, the production line ground to a halt again. The clock's ticking, but the arrival of essential components is anything but guaranteed.

KTM's been hit hard by liquidity issues, leaving them cash-strapped and suppliers unwilling to take a risk. This financial turmoil, coupled with a supply chain crunch, has put the brakes on production at the Mattighofen plant. The company filed for insolvency back in November 2024, and they're now knee-deep in restructuring proceedings.

But let's not sound the doomsday bell just yet. KTM's expected to roar back to life on all four production lines by July 27, 2025, if supply chain issues can be ironed out. The company's also jumped ship on some distribution deals, ceasing the distribution of certain CFMoto and Zeeho two-wheelers in countries like Austria, Germany, UK, Spain, and Switzerland.

In a rushed bid to avoid a financial collapse, longtime CEO Stefan Pierer traded his post for Gottfried Neumeister's, and Pierer Mobility, KTM's parent company, unloaded non-essential assets, including its stake in MV Agusta. To quell employees' fears, Neumeister's been in touch with the workforce via video messages, hinting at active steps to address concerns amidst the turmoil.

In summary, KTM's Mattighofen plant is currently in the doldrums thanks to complex supply chain issues stemming from financial instability. Production halted after a brief return in March 2025 and, for now, remains on ice until late July 2025. While Go Neumeister steers the company through the eye of the storm, workers patiently twiddling their thumbs can only hope for smooth waters ahead.

  1. The production at KTM's plant in Mattighofen, located in the Austrian town of Mattighofen, has faced an extended three-month halt due to restructuring, causing a delay in procuring essential components.
  2. CEO Gottfried Neumeister is currently playing catch-up with suppliers to ensure critical parts are available when production resumes on May 1st, but the arrival of these components is anything but guaranteed.
  3. In the automotive industry, KTM has faced a double whammy, with a plant closure starting December 2024 and production resuming temporarily in March 2025, only to halt again due to supply chain issues.
  4. financial turmoil and supply chain crunch have left KTM cash-strapped, causing suppliers to become unwilling to take risks, contributing to the current halt in production at the Mattighofen plant.
  5. As KTM's Mattighofen plant remains in a state of uncertainty, new labor agreements are scheduled to kick in on May 1st, including a summer break that slides into July and reduced working hours, while the company undergoes restructuring proceedings to try and address its financial issues.

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