Eleven thousand jobs across the United States and Canada are to be lost in a new plan announced by Chrysler Corporation. The company said on Thursday that it will cut up to 10,000 hourly jobs and 1,000 salaried ones. The news comes in addition to the 13,000 other job cuts announced earlier this year. Together, these cuts slash 30 percent of Chrysler’s workforce.

Chrysler has been in trouble for months, largely because of weak sales. It announced plans to address this problem in February, when the first set of job cuts were announced. Additional cuts were expected, but they have turned out to be much more severe than analysts predicted. Robert L. Nardelli, Chrysler’s chief executive, said that because of shifts in buyers’ demands “the market situation has changed dramatically.” The company’s co-president said the firm was having to adjust to a “smaller marketplace.”

While things are looking bleak for American automakers, other manufacturers seem to be doing well. Toyota celebrated the 50th anniversary of its entry into the U.S. market this month. It overtook Chrysler last year, and in October it sold more cars in the U.S. than Ford. It appears Toyota is on track to become the number-two car manufacturer in the U.S.

Japanese companies are succeeding against domestic manufacturers due to a number of factors. Due to bad management and poor foresight, the American manufacturing industry is facing huge legacy liabilities. In 2005, for every car General Motors made, approximately $2,550 went to pay for pensions and health care. Toyota spent closer to $250. Changing tastes toward smaller, more fuel-efficient cars are also in Japan’s favor, taking consumers away from the larger, gas-guzzling domestic cars to more economical models.

Many factors are at work in the industry, but the trend is clear. Manufacturing in the U.S. is declining rapidly. For more information on how this trend will affect the economy overall, read “The Death of American Manufacturing.”