Release date: 18 November 2010
Promoter – Financial Intermediary
Volkswagen Argentina SA
Location
Description
The project concerns the promoter’s refurbishing, modernisation and expansion activities in its existing plant for the manufacturing of gearboxes in Córdoba, Argentina, to support the increasing demand of its small/medium segment vehicles in the Latin American market that are assembled in its plants in the region (mainly Brazil and Argentina).
Objectives
Contributing to i) support of EU presence in Latin America, ii) the increase of FDI and transfer of technology and know-how in Argentina and iii) the economic development of Argentina through employment and exports.
Sector(s)
Proposed EIB finance (Approximate amount)
EUR 70 million
Total cost (Approximate amount)
EUR 140 million
Environmental aspects
The project is expected to follow the appropriate EU environmental and social principles, standards and practices, subject to local conditions. The Bank’s services will, however, clarify the possible need for an EIA during the appraisal, subject to local conditions and the procedures followed by the Argentinean authorities in this case. Due attention will be paid to the social aspects of the project, in particular to the network of local suppliers and the indirect involvement of a large number of people in the component and service provision for the project.
Procurement
Procurement is expected to be in line with EIB guidelines for private sector projects. The Bank’s services will verify the details during the project’s due diligence.
Status
Signed - 13/10/2011