Ford To Invest EUR94 Million In Car Production In Poland

WARSAW -(Dow Jones)- Ford-Werke GmbH, a unit of Ford Motor Co.(F), will invest EUR94 million in car production in Poland, the Polish Economy Ministry said in a statement Monday.

Ford will expand a car making plant in Tychy to launch production of its latest version of the Ford Ka model.

At present, Ford produces the Ka model in Valencia, Spain.

The Tychy plant belongs to Italian carmaker Fiat SpA (FIATY) and currently produces the company's 500 model.

In January, Ford announced that the new Ka would be made in collaboration with Fiat in Tychy.

Wolfgang Schneider, deputy chief executive of Ford Europe, said at a news briefing that production in Tychy would be launched by the end of the year, with the aim of making 120,000 cars a year.

Some 80% of the components used in the new car would be produced by Polish subcontractors, attracting another EUR190 million in investments, Ford said.