An open letter was published by staff at the Izhevsk Automobile Plant, addressed to President Vladimir Putin, urging action to prevent the plant’s closure. The message circulated on social networks described an alarming situation at the enterprise, labeled as extremely negative.
The plant is currently idle due to a shortage of parts needed to manufacture cars.
The owners, a French group, were accused of sabotage by workers who note that only about 40% of Vesta components are produced domestically, with the rest sourced abroad.
Viktor Nazarov, the union leader at the Lada Izhevsk plant, said there has been no response yet from the plant’s leadership or regional officials in Udmurtia to the letter. “We are trying to show that production cannot stop. We were told it was necessary,” he stated. In an interview with socialbites.ca, Nazarov added, “We fear we may be left without cars or a functioning factory. We have no hope.”
The union pointed out that the level of localization at the factory has remained unchanged since 2015. Members claim AvtoVAZ management has already decided to relocate Vesta production from Izhevsk to Tolyatti because the Izhevsk facilities are less utilized and the home site offers much greater capacity.
Earlier, AvtoVAZ chief Maxim Sokolov claimed production of Lada Vesta could resume before 2023 if new suppliers appeared. Regional authorities had promised to organize assembly of electric Largus models at the Izhevsk site as an alternative. Nazarov accused top AvtoVAZ management of deceit, suggesting that Vesta would be moved, equipment taken out, and the promise of an electric Largus would remain only on paper for two to three years of work before it could launch.
The union warned that demand for electric cars is low, and the workforce at the Izhevsk plant, now around three thousand people, could face a reduction of up to 70%.
Complete misunderstanding
Nazarov said that on August 2 AvtoVAZ executives would meet Izhevsk plant staff. On August 4, the head of the Udmurt Republic, Alexander Brechalov, and AvtoVAZ chief Maxim Sokolov would visit the production site to discuss its future. Despite Nazarov’s statements, insiders explained that equipment for Vesta production remains at the plant, and leadership at AvtoVAZ offered no clear answers about the future.
The spokesman noted that inquiries about the workers’ appeal to the president were being considered as AvtoVAZ evaluated various scenarios for loading production in Tolyatti and Izhevsk. The company employs more than 40,000 people across the group. In other words, decisions would involve more than just Izhevsk workers and were slated to be finalized after a board-approved plan for the Volga plant was finalized in August–September 2022.
Brechalov, the head of the republic, told socialbites.ca that he would work to resolve employment concerns. “If employees wish or are forced to change jobs, we have open positions and a demand for highly skilled specialists at other production sites in the republic,” he said.
Maxim Kadakov, editor-in-chief of Za Rulem, noted that some Izhevsk workers had already found positions at the Kalashnikov concern, which has increased production. Kadakov acknowledged the emotional impact of job loss and the fear many feel in tough times. He observed that the letter, signed by nearly 1,000 people out of about 40,000 workers, reflects concerns aimed at protecting the broader company interests. Kadakov supported relocating Vesta production to Tolyatti as a practical move to consolidate production and improve efficiency by bringing all models, including the Vesta and its derivative, under a single roof and accelerating assembly lines.
The engines and gearboxes for Vesta had previously been shipped from Tolyatti to Izhevsk, creating logistical costs. Kadakov suggested it could be sensible to explore a contract for assembling another brand at Izhevsk or leasing the plant to a foreign company. He asserted that AvtoVAZ’s strategy should align with the broader automotive development plan endorsed by the president.