GM Spark could produce in Craiova

After last year's GM position oscillated between buying or plant in Craiova, this year U.S. officials say they are determined to buy it.

GM Europe President Carl-Peter Foster, said in Detroit that U.S. group is interested in taking over Daewoo Automobile Craiova (DWAR).

According to Foster, quoted by reality TV, where GM will win the tender for the Craiova plant, the first car will leave the production line will be Chevrolet Spark.

Currently, the Spark is produced only in Korea. Spark's manufacturing potential in Romania will automatically lead to exemption from customs duties imposed by the EU for cars that are manufactured outside the EU. Moreover, Foster raises and does not exclude the possibility of plant in Craiova small class models of Opel.

Ford, GM's main competitor in the U.S. market is also one of the potential future owners of DWAR.

Ford might be interested in Romania for Fiesta production, currently manufactured in Spain. In fact, Prime Minister Tariceanu said during a meeting with Ford officials last year that the future owner is willing to pay "facilities in accordance with European competition rules."

American Issues

Both manufacturers are facing financial problems but powerful. Both GM, which dominates the global auto market over 80 years, as well as Ford sales are down and crossed the restructuring plans. Only in 2005, GM reported losses of $ 10.6 billion, closed 12 factories and 34,000 to compensate for redundant employees.

Ford Chairman, Bill Ford announced in late 2006 that takes into account the possibility of sale of luxury brands Jaguar and even Aston Martin to reinvest in other brands in the group.

Logan remains in Mioveni

Renault-Nissan, included in the first phase buyers list, withdrew from the race for privatization DWAR since last year. Analysts speculated then that Renault may submit an offer to purchase the plant in Craiova, where he intended to develop production capacities of Logan. Subsequently, representatives of Renault and Dacia cars denied that DWAR would be interested, arguing that the plant in Pitesti has, so far, enough production capacity to Logans. A fourth potential owner, Chery Automobile of China, is included on the list of those who may purchase bid.

Stand-by

Romanian state took over in September last year by Automobile Craiova, 51% of DWAR represented in the Korean Daewoo Motor for 60 million dollars. The state owns 72.4% of Automobile Craiova. DWAR Buyer will be announced this year.