The company is negotiating the SKD assembly of foreign cars at its facilities, AvtoVAZ president Maxim Sokolov said.
He noted that foreign companies have already submitted proposals, but the negotiation process is underway, taking into account how beneficial it will be for AvtoVAZ and the Russian industry as a whole. At the same time, the head of the company has not indicated with the company from which country negotiations are underway.
During the Federation Council, Sokolov said that after the departure of foreign manufacturers from the Russian Federation, many domestic companies announced their willingness to start low-localized assembly of foreign cars on their own or in vacant facilities.
But SKD or “screwdriver” assembly does not contribute to the development of national suppliers and engineering competences. Therefore, he believes that in order to stimulate import substitution in the automotive industry, it is necessary to establish the following approach in the regulatory framework: the higher the level of localization, the greater the amount of state aid. At the same time, it is unacceptable to provide incentives in advance, under the promise of localization in the future, the head of AvtoVAZ believes.
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AVTOVAZ owns production plants in Tolyatti and Izhevsk. The brand now consists of four model families: Vesta, Largus, Granta and Niva.