The automotive sector in Russia is pursuing a strategy to localize the production of as many car components as possible while closely watching the final price tag for domestically assembled vehicles. This approach was highlighted by the prime minister during a Council of Ministers session, as reported by TASS. The aim is to reduce reliance on foreign suppliers and to strengthen domestic supply chains so that assembly lines keep moving smoothly even in the face of global disruptions.
To support this objective, the government has earmarked an additional 15 billion rubles for the Industrial Development Fund to bolster the automobile industry. The funds are intended to finance at least ten key initiatives, including the setup of mass production capabilities for anti-lock braking systems and for passive safety components. This investment signals a broader push to advance robotics, precision manufacturing, and supplier networks within Russia, ultimately helping automakers offer competitive products at controlled costs. (TASS)
Prime Minister Mishustin stressed that ongoing, comprehensive support will be extended to businesses confronting external constraints, such as logistical hurdles that affect the supply of spare parts from overseas. The strategy emphasizes ensuring uninterrupted conveyor operations, which requires maximizing domestic localization of components across production lines. At the same time, the government intends to keep the end price of Russian-made cars in check, ensuring affordability for consumers while maintaining quality and safety standards. (TASS)
In recent months, Itelma has announced intentions to begin producing ABS systems at a Kostroma facility, with market introduction planned for mid-2024. The project involves upgrading existing infrastructure and integrating new manufacturing lines to meet automotive industry standards. In parallel, the former Robert Bosch Samara plant is undergoing renovations to enhance local capabilities and capacity. Sollers has outlined plans to start manufacturing Russian airbags in Ulyanovsk in 2025, further expanding domestic safety component production and reducing dependence on imports. (TASS)
Earlier developments include the establishment of spare parts production near Saratov for Renault, Nissan, and Mitsubishi models, signaling an expanding network of domestic suppliers that support major global brands operating in Russia. These steps are part of a broader national strategy to strengthen the automotive ecosystem, attract investment, and create skilled jobs while maintaining competitive pricing for domestic buyers. (TASS)