Financial Times FT.com

Cost of low-cost European automobile cycle

By Paul Betts

Published: April 14 2008 17:05 | Last updated: April 14 2008 17:05

Renault must be relieved that the 19-day pay strike at its Dacia plant in Romania is finally over. The French car group acquired the Romanian manufacturer in 1999 and has since transformed it into one of the pillars of its international strategy and growth.

Dacia produces Renault’s no-frills Logan cars which, though developed for emerging markets, have become a runaway success in western countries. Cheap labour and low taxes, coupled with the Logan’s success, have helped Renault weather difficulties in its mature western European markets.

You have viewed your allowance of free articles. If you wish to view more, click the button below.

Read this