This is the first time an auto industry executive brings up the issue of imports, which directly affect productivity and costs of the car plants in Romania. He believes the plant imports too many parts from Western Europe, because the lack of local suppliers. The companies in such countries as France charge higher prices and there are also transportation and logistics costs for getting those parts to Romania.
Dacia Mechanical and Chassis plant is the second largest facility on the industrial site of Dacia, after the plant that assembles the cars. It is currently employing 4,000 people and is regarded as the group’s most complex mechanical plant.
“The important thing for a mechanical plant is to have its supplier network as close as possible. Although we have a good network in Romania, we are still buying too many [parts] from countries like France where costs are higher.”
Philippe Nottez says the company wants even more suppliers to come to Romania.
About 70% of the components used in a Dacia Logan, for instance, are locally sourced but the rest, such as engines, are imported from Spain and other Western European countries.
The Dacia executive is convinced some of the parts currently imported could be made in Romania because the technical skills to make them are there. Every time certain parts for engines or gearboxes are needed, the company first looks for them in Romania. If unavailable, it resorts to imports.
The French executive’s statements provide an explanation as to why both Automobile Dacia and Ford Romania are among the leading exporters and importers in Romania. Whereas Dacia is the country’s largest exporter, it is also its second leading importer, while Ford Romania is the fourth largest importer, even though it only assembles fewer than 60,000 cars a year compared with the 300,000 nameplate capacity.
(English version by Loredana Fratila-Cristescu)