Daewoo Craiova must look for other partners

It is the authorities’ duty to support Daewoo Craiova’s business, PM Adrian Nastase on Wednesday said, adding the Government is expecting the legal situation of the company to be cleared up, but it is also important for the carmaker to look for other possible partners in the automotive industry. “We want to start preparing for the most difficult moments over the next few years. We cannot just sit and wait for things to get complicated in a year or two. The market economy has shown that not even a giant like Daewoo was capable to cope with extremely tough competition and maybe its too great ambition to develop horizontally and in too many fields,” Nastase was quoted as saying by Mediafax. Korean Daewoo Motor Group bought 51% in the factory in Craiova in the mid ’90s, with the total investments made from that moment on worth over $870 million, as estimated by the company’s officials. Still, after the Korean carmaker went belly up, the factory in Craiova, along with those in Poland and Ukraine were not included in the agreement for the sale of certain assets of Daewoo Motor to General Motors and Korea Development Bank, the representative of the Daewoo Motor’s lenders. ZF