Vw planning to produce more than 100,000 cars in at GAZ plant in Russia

Article by Christian Andrei, on February 25, 2011

At Russian group GAZ's plant, Volkswagen aims to produce over 100,000 Volkswagen and Skoda cars annually. Volkswagen has submitted a memorandum of intent to the Russian government to confirm its commitment to new manufacturing criteria – as part of a requirement to qualify for a raft of incentives including lower custom tariffs on parts.

Volkswagen's Russia chief Marcus Osegowitsch said in a statement on Thursday said that the group is “highly interested” in further developing its operations for the Russian market.

He described GAZ Group to be a “strong Russian partner familiar with western production and management standards." Western carmakers want to have local Russian partners in a bid to offset a slowdown in developed market sales with emerging market growth.

In turn, the Russian government has been trying to attract auto industry leaders with financial incentives for using local manufacturing facilities and labor.

Foreign carmakers have until Feb. 28 to submit a memorandum of intent to the government stating their plans for Russian manufacturing. Ford Motor Co. and General Motors Co. are included in the companies finalizing plans. [via autonews - sub. required]

Topics: vw

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Nikola Motor’s hydrogen-powered semi-trailer truck is highly appealing with its many advancements but don’t expect it to arrive in the near future. In November 2016, Toyota announced the possibility of...
by - December 5, 2016
Usually, it is up to resourceful spy photographers to take clear pictures of vehicle prototypes, especially those that have aroused a lot of interest. The same is true for Project...
by - December 5, 2016
The much-anticipated debut of the new Wrangler will surely happen. As it approaches, we’ve gathered all the latest information released so far. Of course, most are expecting that the next...
by - December 5, 2016
Nissan has announced the pricing for its new commercial pickup line. So for those who have been waiting for Nissan’s official price list (plus a little more info), read on… ...
by - December 5, 2016
Sorry folks, the AMG-fied Mercedes-Benz X-Class will remain in the fantasy world. According to some news, the AMG big boss has finally spoken up about why an AMG X-Class is...
by - December 5, 2016
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries