Doğuş Otomotiv signs letter of intent with Volkswagen on possible Turkey production
Doğuş Otomotiv has signed a letter of intent with Volkswagen Group to assess producing Volkswagen passenger cars in Turkey, the company said in a disclosure to the Public Disclosure Platform (KAP).
Doğuş Otomotiv has signed a letter of intent with Volkswagen Group companies to evaluate whether Volkswagen passenger cars could be produced in Turkey. The company announced the move in a statement to the Public Disclosure Platform (KAP).
Background to the Manisa project
In 2019, Volkswagen planned to build a factory in Manisa, western Turkey, to produce the next-generation Passat and Skoda Superb. The investment was expected to cost about $1.4 billion (1 billion euros), with an annual capacity of 300,000 vehicles and 4,000 jobs.
In October 2019, Volkswagen Turkey Otomotiv Sanayi ve Ticaret A.Ş., with share capital of 943.5 million lira, was established in Manisa. Herbert Diess, then Volkswagen's CEO, wrote to the Ministry of Industry and Technology that the group was halting new investments that would add capacity worldwide because of falling global demand. The project was shelved in July 2020.
In December 2020, a notice published in the Manisa Trade Registry Gazette put the company into liquidation and it was closed. The KAP statement does not give details on the scope, capacity or investment amount of the new letter of intent.
This article was compiled with the help of AI from information published by Bloomberg HT.
