Compact cars will be produced at the Kaiser-Frazer assembly plant in Haifa by the end of this year, Michael Tzur, director general of the Israel Ministry of Commerce and industry, declared today,
Mr. Tzur made the announcement on his return from the United States where he said he had concluded an agreement with an American compact car producer to manufacture such cars in Israel. Production of such a car here has been the objective of Emphraim Illin, manager of the Haifa plant, since Regie Renault, the French car firm, unilaterally canceled its contract for the assembly of Renault automobiles at the plant.
Mr. Tzur said the design of the new compact car, which is marked to sell at 3,000 Israel pounds compared with 7,000 for the Renault Dauphine, was handed to the American auto designing firms for a station-wagon style. The Kaiser-Frazer plant cut its production after the Renault cancelation and is now producing only American type jeeps and station wagons.
Mr. Tzur also disclosed that the West German Gogomobil Company is one of four foreign firms which have extended offers to establish assembly of compact cars in Israel. He did not identify the other two companies, or give the name of the American firm.
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The Archive of the Jewish Telegraphic Agency includes articles published from 1923 to 2008. Archive stories reflect the journalistic standards and practices of the time they were published.
