Dacia to give up 620 of its employees and reduces its 2009 investment plans by 100 million euro

Due to the fall of the car market in Romania, Dacia will stop its production starting December 11, 2008 until January 11 2009 in order to reduces its stocks and will also reduce its production rates thereafter. Even though Dacia registered a success in its exports this does not compensate with the general decrease of the car market in Europe, the company informs.

Plus, Dacia will revisit its investment budget for 2009 from 250 million euro to 150 million euro. Starting January, Dacia will reduce its production from 1 360 cars to 1085 cars/day. Dacia will also reduce its investment plans for 2009, from 250 million euro to 150 million. Investments targeting the improvement of work conditions and the quality of the products will not be affected. Dacia will also maintain its investments in developing its models.

In Romania, the car market registered a 50% decrease in November 2008 and in the same month, Dacia sold 4698 cars on the internal market, a 52% decrease as compared to the similar month, last year.

Starting July 2008, second hand imports increased in Romania: in November alone, there were 50 912 requests for officials to verify second hand cars. The number of requests received after July 1, 2008 increased to 217 510. Most requests target cars that are at least 10 years old.