Volkswagen Is on the Verge of Negotiating a New Turkish Plant

German carmaker Volkswagen is very close to the final decision to build a new plant in Turkey, a company board member told reporters in Berlin today, Reuters reported.

We are in the final stages of negotiations with Turkey, said Andreas Tostmann, a member of the Volkswagen council in charge of production. He expects the talks to be completed within two weeks, and "maybe sooner".

Sources close to the company say the plant will cost more than 1 billion euros ($ 1.09 billion).

According to their data, the plant will  probably produce 300,000 cars a year - VW Passat and almost identical Skoda Superb for export to Eastern Europe, BTA reports.

The Manisa plant near Izmir is expected to employ about 4,000 people. Construction can begin at the end of 2020 and production in 2022 according to sources.

Volkswagen has been exploring the possibilities of building a new plant in Eastern Europe for some time, with Bulgaria actively participating in the race.

Implementation of the project in Turkey would be politically controversial because of EU concerns over restrictions on freedom of expression and the right to hold demonstrations, according to the EU, under President Recep Tayyip Erdogan. Volkswagen's argument is that Turkey is a candidate country for EU membership, Reuters notes.