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* Says to lower production 10 to 15 pct from Nov in Europe
* Says slowing economic activity in Europe, US affecting customers
* Says demand in Latin America stable at high level
* Shares down 4 pct
STOCKHOLM, OCT 10 - Swedish truck maker Scania (SCVb.ST) said on Monday it would cut its production rate in Europe from November due to weaker demand, knocking its share price lower.
"It is a matter of deceleration in Europe, but also a slower pace of order bookings from the Middle East," said Martin Lundstedt, Executive Vice President in charge of Scania's sales and marketing.
Scania said government financial problems in Europe and the US had begun to affect economic activity and led to hesitation among customers. It plans to cut production in Europe by 10 to 15 percent from November compared with the end of the third quarter.
The company, however, said demand in Latin America had stabilised at a high level.
Shares in Scania were down 4.7 percent at 1012 GMT compared to a 0.6 percent rise in the wider Stockholm bourse. .
Scania, majority-owned by German auto maker Volkswagen (VOWG_p.DE), said in late August its view of the market had not changed from July.
(Editing by Helen Massy-Beresford)
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