Ford Investing €200 Million in Romanian Factory

Ford Motor Co. says it will spend about €200 million ($225 million) to prepare its factory in Craiova, Romania, to build the EcoSport small crossover vehicle, Reuters reports.

Production is scheduled to begin in autumn 2017, making Craiova the company’s sole source for EcoSport vehicles sold in Europe, according to Ford of Europe President Jim Farley.

The Romanian factory also make the B-Max MPV, although demand has been weak for that model. Ford has trimmed production repeatedly at the factory to match demand. But Farley says the company expects to maintain current employment levels in Romania.

Media reports in February said Ford might also add production of its next-generation Ka minicar in Craiova. The current model, which shares its platform with the Fiat 500 minicar, is being produced in Tychy, Poland, under contract with Fiat Chrysler Automobiles NV. That arrangement will expire in April.