THE WORLDPOST
03/13/2009 05:12 am ET Updated May 25, 2011

Carmakers May Need EU Bailout Of $19 Billion

The European Union should be prepared to quadruple loans for the car industry this year to 15 billion euros ($19 billion) because of the economic slump, said Carlos Ghosn, chief executive officer of Renault SA, France's second- biggest automaker.

The European Investment Bank, the EU's lending arm, has a 2009 lending target for green-transport projects including cleaner cars of 4 billion euros. New EU rules meant to fight climate change will cap carbon dioxide from cars starting in 2012, forcing the industry to reduce emissions.

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