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German car parts producer Leoni shuts down production facility in Romania

de Radu Rizea
Marţi, 13 ianuarie 2009, 17:56 English | Business

German company Leoni will shut down its production facility in Mioveni due to the drastic decrease of demand in the car industry. Still, Leoni will keep open the neighboring factory in Pitesti, Dacia representatives announced. 230 employees will lose jobs before June because of this decision.

The German company produces cables and wiring parts. Dacia general manager Francois Fourmont claims that his company financially supported the companies providing parts for the production, sometimes even paying in advance for some orders.

Fourmont added that this practice can not be maintained for long, resources being required in order to sustain the current activities.

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