Dacia to increase production 10% due to demand increase in Germany

Joi, 19 februarie 2009, 16:13 English | Business

Romanian car producer Dacia will increase by 10% its current production rate, starting on March 9, as a result of the increasing demand on the German market. The German old cars buyback program offers 2,500 Euro incentives for those who give up their old cars and buy new ones. On the other hand, Dacia sold for the first time more cars in France than on its home-market, Romania, in January.

Dacia decreased its production rate from 1,300 to 1,085 units per day at the beginning of the year, but decided to return to 1,200, starting at the beginning of March.

The company estimates that the number of units demanded in Germany may reach 30,000 at the end of February. Laying off the third shift (3,000 people) will no longer be necessary in case the figures prove to be right.

In 2008, Dacia sold a total of 25,000 units in Germany. In Romania, Dacia sold only 1,900 units in January, a 70% drop. For the first time in its history, sales went better in France, where Dacia sold 3,500 units during the first month of the year.