American group Delphi Packard, an automotive producer, announced it would close its factory in Moldova Noua, a town in Southwestern Romania, due to workforce shortage.

The decision will become effective at the end of March.

The factory produces electric and electronic distribution systems and has almost 700 employees, who will lose their jobs. Delphi Packard announced that the employees affected by this decision would be directed to apply for jobs in the group’s other factories, at Sannicolau Mare and Ineu.

The Delphi Packard factory in Moldova Noua opened in 2013 and in 2016 it had a turnover of EUR 83 million and a net profit of over EUR 1 million.

The US group started its operations in Romania 15 years ago and has electrical cable factories in Sannicolau Mare, near Timisoara and Ineu near Arad, and an engine systems factory in Iasi, Eastern Romania.

editor@romania-insider.com