(MENAFN) The CEO of AvtoVAZ, Russia's largest automaker, has revealed that car production will resume this month at the St. Petersburg plant, which was previously owned by Nissan. Following the Japanese manufacturer's departure from the Russian market last year, it transferred all its assets in the country to the state-owned research and development firm NAMI for a nominal fee of €1. Subsequently, AvtoVAZ acquired the plant, which is located in Russia's second-largest city and is renowned for its production of Lada vehicles.
AvtoVAZ CEO Maxim Sokolov informed reporters on Friday that June 14, 2023, marks the date when production at the Lada St. Petersburg plant will recommence. He further disclosed that a new Lada model will be manufactured at the facility. Initially, the factory plans to produce up to 10,000 vehicles this year, with production expected to increase in the coming years.
The Nissan plant in St. Petersburg, inaugurated in 2009, boasts a production capacity of up to 100,000 cars annually. In 2021, the assembly line produced approximately 43,000 vehicles, primarily focusing on SUV models such as the Qashqai and X-Trail.
The resumption of car production at the former Nissan plant marks a significant milestone for AvtoVAZ and the Russian automotive industry. Acquiring the facility provides AvtoVAZ with an opportunity to expand its production capabilities and strengthen its position in the domestic and international markets. With the introduction of a new Lada model, the company aims to cater to evolving customer preferences and further enhance its product portfolio.
This development also signifies the resilience and adaptability of the Russian automotive sector amid a dynamic market landscape. AvtoVAZ's commitment to reviving the St. Petersburg plant demonstrates its determination to leverage existing infrastructure and talent while contributing to the region's economic growth. The resumption of car production at this facility will not only create employment opportunities but also contribute to the overall development and stability of the automotive industry in St. Petersburg and the surrounding areas.
In conclusion, AvtoVAZ's CEO has announced the resumption of car production at the former Nissan plant in St. Petersburg. With plans to manufacture a new Lada model, the company aims to capitalize on the facility's production capacity and expand its presence in the Russian automotive market. This strategic move reflects AvtoVAZ's commitment to innovation and growth, while contributing to the economic development of the region.
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