EC Approach In Romanian Craiova Automaker Sale Was „Unnatural” – PM

Tariceanu said in the opening of Mediafax talks about Auto Industry conference that the Government mainly targeted Romania’s economic interest in its negotiation with Ford.

"When I started talks with Ford to set up the sale agreement, we agreed from the start that we do not want to make a simple project, but an industrial one. When we required EC’s approval, we were surprised to find out what they have to say: in the way you (Romania’s government – e.n.) drafted the task book, you settled conditions distorting the market, and you could have obtained a better price for the factory in Craiova by writing off conditions on keeping its business line and the number of employees," Tariceanu said.

The Prime Minister stressed out the EC’s approach was "very unnatural," considering that all European political leaders aim to boost economic growth and to create new jobs.

"The European Commission said: if you had sold it for a real estate project, you could have gained more. Of course we could, but I am not interested. As Prime Minister, I am in charge with promoting long-term projects that trigger economic growth and create jobs, and not just one time but in 2008, in 2009, and in 2010; hence, I consider the EC approach to be very unnatural," Tariceanu added.

Ford bought in 2007 a 72.4% stake in Automobile Craiova for EUR57 million. The deal has been delayed by a probe of the European Commission, which ordered the Romanian government to recover an illegal EUR27 million state aid from Automobile Craiova.