Ford Otosan, the joint venture between Ford Motor Company and Turkey's Koc Holding, announced that it would create 1,300 new jobs at its factory in Craiova, Romania, as part of its plan to increase its production capacity and export potential.
The company said it will invest $1.3 billion in the Craiova plant over the next four years, which will enable it to produce up to 300,000 vehicles and 280,000 engines per year by 2026. The plant currently produces the Ford Puma and EcoSport SUVs, as well as the 1.0-liter EcoBoost engine.
Ford Otosan said the investment would also support the development of new technologies and products, such as hybrid and electric vehicles, advanced driver assistance systems, and connectivity features.
The expansion of the Craiova plant is part of Ford Otosan's strategy to become a global hub for light commercial vehicles (LCVs), which are in high demand in Europe and other markets. The company already operates two LCV plants in Turkey, where it produces the Ford Transit, Ford Transit Custom, and Ford Tourneo Custom models.
Ford Otosan said it expects to export more than 80% of its production from Romania and Turkey to more than 100 countries worldwide, generating annual revenues of over $10 billion.
The announcement was welcomed by Romanian Prime Minister Florin Citu, who said that Ford Otosan's investment would have a positive impact on the country's economy and employment.
"Ford Otosan's decision to expand its operations in Romania is a strong vote of confidence in our country's potential and attractiveness for foreign investors. This is one of the largest investments in the automotive sector in Romania in recent years, and it will create thousands of direct and indirect jobs, as well as opportunities for local suppliers and service providers," Florin Citu said.
Ford Otosan's CEO, Haydar Yenigun, said that the company chose Romania as its strategic partner because of its favorable business environment, skilled workforce, and strong infrastructure.
