Agenda at St. Petersburg: Lada production expansion and localization push
During a recent gathering of the Union of Machine Builders of Russia in St. Petersburg, strategic plans were reaffirmed to repurpose the former Nissan manufacturing site for Lada automobile production. The discussions underscored a clear intent to escalate local content, reinforcing the broader push toward higher levels of localization across the vehicle supply chain. The emphasis is on developing and delivering vehicles with a greater share of domestically produced components, tailored to meet Russian market needs and regulatory requirements.
Participants stressed that government measures to stimulate the sector should consistently prioritize the manufacture and sale of goods assembled with a high degree of local content. This approach aligns with national policy goals to strengthen domestic engineering capabilities, reduce dependence on imported parts, and support regional job creation within the automotive industry.
In line with these objectives, the project at the St. Petersburg site envisions the gradual ramping up of Lada production as the year progresses. Initial operations are expected to begin in the second half of this year, leveraging the existing industrial footprint of the former Nissan facility. The plan calls for a measured increase in output, with a target range of 50,000 to 70,000 vehicles annually by 2025–2027, representing a significant step in rebuilding local automotive manufacturing scale.
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Source: AVTOVAZ