GOVERNMENT ministers are set to decide whether to grant van maker LDV £40 million of state aid to enable it to enter into a joint van-making venture with Daewoo. A Department of Trade and Industry advisory board met on Thursday to consider the application. The advisory group's recommendation, which has not been made public, will now be passed on to ministers for a final decision.

However, a Daewoo spokesman said that even if LDV's plea were successful the link-up deal between the companies remained under negotiation and had yet to be finalised. He said any prospective arrangement would involve the manufacture of Transit-sized vans, but there was no certainty they would be marketed in the UK. Daewoo is developing an LCV at its Worthing technical centre which has been designed specifically for the Eastern European market.