Ford sees new van production in Romania after spending millions in training costs

Ford Motor Co. (NYSE: F) has committed to the country of Romania, and will be rolling out its new Transit Connect vehicle today. The compact van will be sold in Romania and in the U.S., with a $20,000 to $22,000 price tag. This comes after Ford took over a state-controlled vehicle manufacturing facility a few years ago, and after spending over $17 million in training costs at the Romanian site to product the new Transit Connect.

Romanian President Traian Basescu said of Ford's Romanian workers: "I want to thank the workers ... With your hands and minds you have been reorganizing the workshop ... You have been loyal partners of the investors from the very beginning." Indeed -- Ford has spent a pretty penny in workforce training for the new facility, and could be creating a new market niche with the compact van outside of the sedan but before the minivan.

Over the next four years, Ford plans to make 300,000 automobiles in Romania as it hires an extra 3,000 Romanians in the process on top of the 4,000 already employed there. As American vehicle companies invest more in overseas factories and workforces, Ford's shrewd moves continue putting it ahead of the competition.

The automaker only spent $88 million back in 2007 to take a 72.4% stake in Automoboile Craiova in Romania -- and now 300,000 vehicles will be floating off the line there over the next four years. All in all, a bargain -- even with the $17 million in startup employee training costs and millions more as it hires and trains an additional 3,000 employees soon.
Get the latest on cars and trucks
from Ford and all brands at AOL Autos.

Reader Comments (Page 1 of 1)

Symbol Lookup
IndexesChangePrice
DJIA-6.6612,496.15
NASDAQ+11.042,850.12
S&P 500+2.231,318.86

Last updated: May 23, 2012: 11:05 PM

Hot Stocks

General Electric

19.180.00(0.00)

Alcoa

8.61+0.12(+1.41)

Apple Inc

570.56+13.59(+2.44)

Google Inc 'A'

609.46+8.66(+1.44)

Bank of America

7.17+0.19(+2.72)

Wal-Mart Stores

64.58+0.85(+1.33)

Exxon Mobil Corp

82.04+0.09(+0.11)

Ford

10.41+0.22(+2.16)

Citigroup

27.15+0.23(+0.85)

IBM

196.12-0.70(-0.36)

Yahoo

15.38+0.09(+0.59)

Starbucks

55.29+1.92(+3.60)

Microsoft

29.11-0.65(-2.18)

Home Depot

48.74+0.48(+0.99)

Learn More About Ford Cars

Find Your Next Car

AOL Autos New Cars and Used Cars

DailyFinance Headlines

Benzinga Headlines

TheFlyOnTheWall.com Headlines

BioHealth Investor Headlines

WalletPop Headlines

DailyFinance BlackBerry App

My Portfolios

Track your stocks here!

Find out why more people track their portfolios on AOL Money & Finance then anywhere else.

BloggingStocks Partners

More from AOL Money & Finance

BioHealth Investor Headlines

Page Loaded in 1337828713654 ms.