Romania auto parts producer Electroprecizia Sacele could soon start producing spare parts for the Craiova-based plant bought by American car giant Ford, the conclusion of a visit of people from Ford, Electroprecizia director Constantin Zavarache said.
Ford representatives had an offer to hand out and were very familiar with the company’s work.
“They
were pleased with the equipment and advised us where to improve,”
Zavarache said, adding his feeling was the car maker is in the cards
for a future deal. Ford’s two representatives will inform an office in
Germany and once they get greenlight on the move, the car parts maker
will go through an audit. Then a contract could be inked, the director
said.
Zavarache
said he does not know what kind of spare parts the company will provide
Ford. Yet, a likely contract with the American giant is a godsend
considering the difficult situation the company is going through
because of the economic downturn.
Orders
at Electroprecizia halved over the end of September last year. The
engine producer registered 1.36 million euros losses last year, after a
64,000 lei profit in 2007. Some 200 employees are also on the verge of
dismissal owing to the dim perspective regarding production.
The company has a share capital of 42.49 million lei and is listed on the Rasdaq over-the-counter market.
Ford
recently took over the Daewoo factory in Craiova, paying the Romanian
government 57 million euros for 72.4 percent of the shares. Production
was scheduled to begin in 2009.
While
the first vehicle heralded for the middle of next year is Ford Transit
Connect, it is hoped that 2010 will see a new small category model,
only manufactured in Craiova.
The
American company estimated that by 2012, it will produce 300,000
vehicles and as many engines every year, with adjoining expenditures to
climb to 1 billion euros. The number of employees should also increase
gradually from 3,900 to 7,000.
However, Ford was seriously affected by the economic crisis and had to trim production on ebbing sales
