Ford showing interest for Romanian plant

Ford Motor Company took the lead in bidding to purchase the former Daewoo assembly plant from the Romanian government after GM dropped out the deal.

Beside General Motors, the Russian automaker GAZ,Chinese from Chery and the Indians from Tata Motors showed interest for Daewoo Automobile Craiova ."AVAS received … only one offer, from Ford Motor Co.," the agency said in a statement.

A General Motors spokesman said that the American automaker intends to increase its capacity in central and eastern Europe.Although GM has financial equity or production deals with several plants in central and easter Europe, this including Poland, Ukraine, Russia, Uzbekistan and Kazakhstan, the automaker showed great interest about the Romnian plant but for no reasons the deal went off. Mark Kempe said that GM is looking at all option around the region and this is the reason they decided not to bid.

The factory from Craiova was bought back in 2006 for $51 million plus another $10 million for debts stemming from past loans mad by the Korean automaker.The head of AVAS, Mr. Teodor Atanasiu, said he will have to ensure a minimum yearly output of 300,000 vehicles.