The Ministry of Commerce and Industry confirmed today that negotiations were being conducted with the Studebaker-Packard Corporation for assembly of the Studebaker Lark, the company’s compact car, at the Kaiser-Frazer plant in Haifa.
The Lark would be sold in Israel for about 11,000 pounds ($6,100–about twice the cost of the Renault Dauphine formerly assembled here. The Lark, however, is a six-cylinder car considerably larger than the French vehicle which has an air-cooled engine located in the rear of the car.
Assembly of the Dauphine here was discontinued last summer when Regie Renault surrendered to the Arab boycott and canceled contracts for assembly on the car by Kaiser-Frazer. The Haifa plant is also weighing the assembly of a very small car, possibly a combination of the German Gogomobile chassis and engined and a body of the French Citroen Deux Chevaux type.
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