DaimlerChrysler is to cut 13,000 US Chrysler jobs by 2009.

The German-US group hinted that it could sell Chrysler and was looking for ‘strategic options with new industrial partners’.

The announcement followed details of a recovery plan which the automotive giant claims will reverse the fortunes of the Chrysler Group, which posted a £83m loss last year and expects to record a loss this year.

The Chrysler plan calls for closing the company's Delaware assembly plant and reducing shifts two other US factories.

Dieter Zetsche, DaimlerChrysler chief executive, said: "We do not exclude any option in order to find the best solution for both the Chrysler Group and DaimlerChrysler. This means all options are on the table."