PARIS -- Renault and PSA Group have committed to increasing their orders from ailing components-maker GM&S Industry after their chief executives spoke with Economy Minister Bruno Le Maire, his ministry said on Sunday.
Renault agreed to raise its orders by 5 million euros to 10 million while PSA committed to lifting its purchases by 2 million euros to 12 million, the ministry said in a statement.
The factory, based in La Souterraine in central France, makes parts such as brackets and bumper supports.
The future of the company, which employs 277 people and is facing liquidation, was a priority of President Emmanuel Macron's new administration, a government spokesman said on Wednesday.
"These commitments will allow the firm in 2017 to reach a turnover close to 25 million euros, and make it possible for it to continue operations and pursue takeover discussions," the spokesman said.
Workers destroyed machinery at the plant last week and said they had rigged gas tanks to explode in an effort to put pressure on customers, including Renault and PSA, to raise orders in a bid to keep the plant open.