Automobile Craiova
Encyclopedia
Automobile Craiova is a Romania
n car
manufacturer located in Craiova
, Romania
. It is owned by Ford Motor Company
.
n government (64%) and Citroën
(36%). The factory produced cars under the Oltcit
and Citroën
brands for the domestic and external markets.
In 1994, the company decided to go into partnership (49%-51%) with Korean company Daewoo Heavy Industries (later Daewoo Motors
) as Rodae Automobile. After producing the Oltcit
between 1981–1996 (starting 1992 rebadged as Oltena, and as Rodae after 1994), the company started producing the Tico
, Cielo and Espero
.
In 1997, the name was changed to Daewoo Automobile Romania and a new engine and transmission factory was opened by the company, and by 2001 was also producing the Matiz
and Nubira II
. However, by this time, the main parent company in Korea had collapsed, due to financial problems in South Korea economy and over-expansion in Central Asia and Eastern Europe.
In 2002 General Motors bought the bulk of Daewoo Motor
in South Korea, but did not buy the plants producing Daewoo cars in Romania, Uzbekistan
or Poland. Due to this deal, the Romanian company was not allowed to export their products to neighbouring countries any more, or produce newer models by the new GM Daewoo
company.
To make matters worse for the company, General Motors
started selling the products of the GM Daewoo in 2003, under the Chevrolet
brand.
n government bought out Daewoo's 51% in the joint venture for US$ 60 million. A year later, in September 2007, Ford was interested to acquire a 72.4 percent stake in the company for 57 million euro and on 21 March 2008 the acquisition contract was signed and Ford officially took over Automobile Craiova. Ford announced that it intends to invest 675 million euro in the company, which is supposed to build up to 300,000 cars a year and increase the number of employees from 3,900 to 7,000. As of May 2009, Ford Motor Company
acquired a majority 95.63% stake in the company. During 2010, it acquired the remaining interest, thereby holding 100% interest.
Ford Transit Connect
(both, the passenger carrying and van models) is Ford's first model produced in Craiova, and will be followed by low-capacity car engines and a small class car, the new Ford B-MAX
.
Romania
Romania is a country located at the crossroads of Central and Southeastern Europe, on the Lower Danube, within and outside the Carpathian arch, bordering on the Black Sea...
n car
Automobile
An automobile, autocar, motor car or car is a wheeled motor vehicle used for transporting passengers, which also carries its own engine or motor...
manufacturer located in Craiova
Craiova
Craiova , Romania's 6th largest city and capital of Dolj County, is situated near the east bank of the river Jiu in central Oltenia. It is a longstanding political center, and is located at approximately equal distances from the Southern Carpathians and the River Danube . Craiova is the chief...
, Romania
Romania
Romania is a country located at the crossroads of Central and Southeastern Europe, on the Lower Danube, within and outside the Carpathian arch, bordering on the Black Sea...
. It is owned by Ford Motor Company
Ford Motor Company
Ford Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...
.
The beginnings
Automobile Craiova was founded in 1976 as OLTCIT joint venture company between the RomaniaRomania
Romania is a country located at the crossroads of Central and Southeastern Europe, on the Lower Danube, within and outside the Carpathian arch, bordering on the Black Sea...
n government (64%) and Citroën
Citroën
Citroën is a major French automobile manufacturer, part of the PSA Peugeot Citroën group.Founded in 1919 by French industrialist André-Gustave Citroën , Citroën was the first mass-production car company outside the USA and pioneered the modern concept of creating a sales and services network that...
(36%). The factory produced cars under the Oltcit
Oltcit
The Oltcit was a Romanian car developed in co-operation with Citroën of France in the 1980s. It is a small three-door hatchback, based on the Citroën Prototype Y and built in Craiova at the Automobile Craiova plant.-History:...
and Citroën
Citroën Axel
The Citroën Axel was a supermini automobile produced between 1984 and 1990 and developed in co-operation by Citroën of France and Automobile Craiova, a joint venture company with the Romanian government....
brands for the domestic and external markets.
The 1990s
In 1991, as a result of the withdraw of Citroën from the joint venture, the name of the company was changed to Automobile Craiova and production continued under the Oltena brand.In 1994, the company decided to go into partnership (49%-51%) with Korean company Daewoo Heavy Industries (later Daewoo Motors
Daewoo Motors
The Daewoo Motors was a South Korean car maker established in 1978, part of the Daewoo Group. The company sold most of its assets in 2001 to General Motors after running into financial trouble. The commercial vehicles division was acquired by Tata Motors in 2004.-History:The company was first...
) as Rodae Automobile. After producing the Oltcit
Oltcit
The Oltcit was a Romanian car developed in co-operation with Citroën of France in the 1980s. It is a small three-door hatchback, based on the Citroën Prototype Y and built in Craiova at the Automobile Craiova plant.-History:...
between 1981–1996 (starting 1992 rebadged as Oltena, and as Rodae after 1994), the company started producing the Tico
Daewoo Tico
The Daewoo Tico is a city car produced by the Korean automaker Daewoo from 1991 to 2001.The Tico was based on the 1988 Suzuki Alto. The car was equipped with a three-cylinder 796 cc S-TEC engine and had a five-speed manual transmission or three-speed automatic transmission. The Tico was...
, Cielo and Espero
Daewoo Espero
The Daewoo Espero is a mid-size car produced by the South Korean company Daewoo Motors from 1990 to 1997. It was technically based on the GM J platform and had the distinction of a body designed by Bertone. It bore more than a passing resemblance to the Citroën Xantia, itself also a Bertone design...
.
In 1997, the name was changed to Daewoo Automobile Romania and a new engine and transmission factory was opened by the company, and by 2001 was also producing the Matiz
Daewoo Matiz
-M100 :The production of Daewoo Matiz started in 1998 and it was sold in South Korea and many European markets with the code name M100. The exterior design is based on the Lucciola, a Fiat Cinquecento concept by Italdesign Giugiaro which had been rejected by Fiat. The 0.8-litre gasoline engine and...
and Nubira II
Daewoo Nubira
The Daewoo Nubira is a compact car produced by South Korean automaker Daewoo Motors from 1997 to 2008.The first generation car, model J100, was released to the market in 1997 as Daewoo Nubira, and it was sold until 1999. It was developed as a replacement for the GM T platform-based Daewoo Nexia and...
. However, by this time, the main parent company in Korea had collapsed, due to financial problems in South Korea economy and over-expansion in Central Asia and Eastern Europe.
In 2002 General Motors bought the bulk of Daewoo Motor
Daewoo
Daewoo or the Daewoo Group was a major South Korean chaebol . It was founded on 22 March 1967 as Daewoo Industrial and was dismantled by the Korean government in 1999...
in South Korea, but did not buy the plants producing Daewoo cars in Romania, Uzbekistan
UzDaewooAuto
Uz-DaewooAvto is a 1992 founded joint venture between the Uzbek state owned UzAvtosanoat and the South Korean GM Daewoo. The company produces vehicles under the brand name Uz-Daewoo and is increasingly important in the markets of the CIS area. The company's assembly plant is located in Asaka. The...
or Poland. Due to this deal, the Romanian company was not allowed to export their products to neighbouring countries any more, or produce newer models by the new GM Daewoo
GM Daewoo
GM Korea Company is South Korea's second largest automobile manufacturer and is a division of the General Motors Company. GM Korea's roots go back to the former Daewoo which was split from its parent company, Daewoo Group, in 2001...
company.
To make matters worse for the company, General Motors
General Motors
General Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
started selling the products of the GM Daewoo in 2003, under the Chevrolet
Chevrolet
Chevrolet , also known as Chevy , is a brand of vehicle produced by General Motors Company . Founded by Louis Chevrolet and ousted GM founder William C. Durant on November 3, 1911, General Motors acquired Chevrolet in 1918...
brand.
Acquisition by Ford
In 2006 the RomaniaRomania
Romania is a country located at the crossroads of Central and Southeastern Europe, on the Lower Danube, within and outside the Carpathian arch, bordering on the Black Sea...
n government bought out Daewoo's 51% in the joint venture for US$ 60 million. A year later, in September 2007, Ford was interested to acquire a 72.4 percent stake in the company for 57 million euro and on 21 March 2008 the acquisition contract was signed and Ford officially took over Automobile Craiova. Ford announced that it intends to invest 675 million euro in the company, which is supposed to build up to 300,000 cars a year and increase the number of employees from 3,900 to 7,000. As of May 2009, Ford Motor Company
Ford Motor Company
Ford Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...
acquired a majority 95.63% stake in the company. During 2010, it acquired the remaining interest, thereby holding 100% interest.
Ford Transit Connect
Ford Transit Connect
The Ford Transit Connect is a compact panel van developed by Ford Europe and designed by Peter Horbury, introduced in 2002 to replace the older Ford Escort and Fiesta-based Courier van ranges, which had ceased production in the same year....
(both, the passenger carrying and van models) is Ford's first model produced in Craiova, and will be followed by low-capacity car engines and a small class car, the new Ford B-MAX
Ford B-MAX
Ford B-MAX will be Ford's new subcompact mini MPV, built on the Ford B3 platform. It was unveiled for the first time at the 2011 Geneva Motor Show as a concept-car...
.
Historic
- Oltcit SpecialOltcitThe Oltcit was a Romanian car developed in co-operation with Citroën of France in the 1980s. It is a small three-door hatchback, based on the Citroën Prototype Y and built in Craiova at the Automobile Craiova plant.-History:...
(1981–1990) - Oltcit ClubOltcitThe Oltcit was a Romanian car developed in co-operation with Citroën of France in the 1980s. It is a small three-door hatchback, based on the Citroën Prototype Y and built in Craiova at the Automobile Craiova plant.-History:...
(1981–1995) - Citroën AxelCitroën AxelThe Citroën Axel was a supermini automobile produced between 1984 and 1990 and developed in co-operation by Citroën of France and Automobile Craiova, a joint venture company with the Romanian government....
(1985–1990) - Oltcit Club 12 CSOltcitThe Oltcit was a Romanian car developed in co-operation with Citroën of France in the 1980s. It is a small three-door hatchback, based on the Citroën Prototype Y and built in Craiova at the Automobile Craiova plant.-History:...
(1993–1995) - Daewoo Cielo (1996–2007)
- Daewoo EsperoDaewoo EsperoThe Daewoo Espero is a mid-size car produced by the South Korean company Daewoo Motors from 1990 to 1997. It was technically based on the GM J platform and had the distinction of a body designed by Bertone. It bore more than a passing resemblance to the Citroën Xantia, itself also a Bertone design...
(1996–1998) - Daewoo TicoDaewoo TicoThe Daewoo Tico is a city car produced by the Korean automaker Daewoo from 1991 to 2001.The Tico was based on the 1988 Suzuki Alto. The car was equipped with a three-cylinder 796 cc S-TEC engine and had a five-speed manual transmission or three-speed automatic transmission. The Tico was...
(1998–2002) - Daewoo Damas (1998–?)
- Daewoo LeganzaDaewoo LeganzaThe Daewoo Leganza is a mid-size sedan produced by the former Daewoo Motors in South Korea between 1997 and 2002. Its internal development name was V100, under which it and its platform are also known....
(1998–2002) - Daewoo NubiraDaewoo NubiraThe Daewoo Nubira is a compact car produced by South Korean automaker Daewoo Motors from 1997 to 2008.The first generation car, model J100, was released to the market in 1997 as Daewoo Nubira, and it was sold until 1999. It was developed as a replacement for the GM T platform-based Daewoo Nexia and...
(1998–2008) - Daewoo MatizDaewoo Matiz-M100 :The production of Daewoo Matiz started in 1998 and it was sold in South Korea and many European markets with the code name M100. The exterior design is based on the Lucciola, a Fiat Cinquecento concept by Italdesign Giugiaro which had been rejected by Fiat. The 0.8-litre gasoline engine and...
(1999–2008) - Daewoo TacumaDaewoo TacumaThe Daewoo Tacuma or Rezzo is a Compact MPV produced by South Korean GM Daewoo since 2000. Developed under the U100 code name, it was designed by Pininfarina and is based on the original Daewoo Nubira J100, a compact car....
(2002–?)