NAMI to transfer Nissan assets to AvtoVAZ for Lada production

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FSUE NAMI, operating under the Ministry of Industry and Trade of the Russian Federation, is directing the transfer of Nissan assets in Russia to AvtoVAZ. This was disclosed by the minister of industry and trade, Denis Manturov, in an interview broadcast by RBC TV. Manturov explained that Nissan made the decision to move the shares to NAMI, and in turn NAMI would pass those shares to AvtoVAZ to enable the continuation of automotive production in Russia in collaboration with foreign manufacturing partners at the St. Petersburg plant. The statement reflects a strategic move to preserve industrial capacity and maintain production continuity for the Lada brand within the Russian market and its export footprint.

The Nissan facility in St. Petersburg began operations in June 2009, producing models such as the X-Trail, Murano, Qashqai, and Terrano. At its peak, the plant had a potential annual output of about 100,000 vehicles, demonstrating the site’s significant role in the local and national automotive ecosystem. The transfer of control aligns with ongoing realignment of foreign automotive assets within Russia’s manufacturing landscape following broader industry shifts and regulatory measures that have affected the sector in recent years.

Nissan’s board of directors approved the arrangement involving Nissan Manufacturing Rus, a corporate entity in the Russian Federation established through FSUE NAMI and linked to the Ministry of Industry and Trade. The public notice regarding the sale of the St. Petersburg operation and other Russian assets was issued on October 11, signaling a formal conclusion to Nissan’s direct stewardship of these assets within Russia and setting the stage for AvtoVAZ to integrate the facility into its production network. The transition is presented as part of a broader strategy to consolidate manufacturing capabilities within Russian industrial groups and to explore local manufacturing opportunities that align with national policy objectives.

Towards the end of 2022, Maxim Sokolov, who leads AvtoVAZ, indicated that the company anticipated establishing a limited-scale assembly line for Lada vehicles at the former Nissan plant starting in 2025. This projected shift is framed as a phased approach to reactivating the facility while leveraging established production know-how, supplier ecosystems, and logistical advantages of the St. Petersburg site. The plan emphasizes gradual capacity ramp, workforce reallocation, and integration with AvtoVAZ’s broader production strategy as the domestic automotive sector navigates a complex mix of market demand, regulatory conditions, and international trade considerations. The announcement underscores a path toward sustaining local employment and maintaining a continuous production presence that supports the Russian automotive industry’s competitive position in both domestic and regional markets.

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