Bosch to invest 60mln euros in a new factory in Romania image

Robert Bosch GmbH, the world’s largest supplier of automotive components may invest as much as 60 million euros ($79 million) in a new factory in Jucu – Romania, Bloomberg reports citing Romanian business daily “Ziarul Financiar”.

The new Bosch facility will produce electronic components for automobiles, and will create about 2,000 jobs.

“The contract is completed, it just needs to be signed, or to be more exact, we are waiting for it to be signed after Ministry of Finance approval,” says Viorel Gavrea general manager at Tetarom.

In addition, Italian electronic appliances producer De’ Longhi has signed an agreement with Nokia Corporation regarding the acquisition of the production unit in Jucu (50%), Cluj, announced the Finnish company today confirming rumors on the media market.

The Italian company has over 7,000 employees worldwide and several plants in China, Russia and Italy.

According to preliminary figures, Bosch lifted sales by 8.8 percent to 51.4 billion euros last year ($66.9 billion), “one of the highest rates of growth since 2000.”

In terms of earnings, pre-tax profit “fell short of target” and amounted to “roughly 5.0 percent of sales” due to what Bosch termed “special burdens” such as rising material costs, upfront investment in new technologies and writedowns on its solar energy division.

For 2012, the company expects its sales to grow by 3 to 5 percent.

  • sanjeev