Moscow returned to the production of cars under the Moskvich brand

“Deal for the ruble”

In a statement on the Telegram channel, the Ministry of Industry and Trade said that according to the agreements, 100% of CJSC Renault Russia will belong to the Moscow government. In addition, 67.69% of the shares of the AvtoVAZ automobile concern will become the property of the Russian Federation, represented by the Federal State Unitary Enterprise NAMI, and the remaining shares of the AvtoVAZ automobile concern will be held by Rostec.

It is stated that an important condition of the agreements is “Renault’s option to buy back its stake in AvtoVAZ, which can be used for the next 6 years”. Both actions have already been approved by the Russian Federal Antimonopoly Service.

“The transfer of a stake in the Renault Group to the state will ensure the preservation of AvtoVAZ’s controllability and the possibility of continuing the operation of the business in the face of sanctions restrictions. This is how we will preserve core competencies, production cycle and jobs,” said Denis Manturov, Minister of Industry and Trade of the Russian Federation.

He also evaluated the prospects for participation in the management of AvtoVAZ by NAMI.

“NAMI” has significant experience in the automotive industry and has a modern research, development and production base, which allows you to successfully solve problems in the field of research, design, construction, development and testing of vehicles. products in the automotive industry. “The competitiveness of the NAMI design and engineering team is confirmed by the creation of vehicles based on a single modular platform under the Aurus brand.”

The Ministry of Industry and Trade also noted that within the framework of existing licenses, production of the entire LADA car series will continue at AvtoVAZ factories. In addition, AvtoVAZ will provide after-sales service for Renault cars in the Russian market.

According to RBC, Renault estimated the value of its assets in Russia at one release at €2.195 billion, but on April 26, Manturov told reporters that the transfer of a stake in AvtoVAZ by the French concern would be “conditionally a deal” “for rubles”.

“But with a five or six-year option – the period during which they (Renault. – socialbites.ca) can decide to buy back shares. And if we invest in this period, this will also be taken into account in the cost. The head of the Ministry of Industry and Trade said then that there will be no “gifts” here.

The acquisition or nationalization of Renault’s Russian assets was not included in the authorities’ plans, he said.

“If a company doesn’t have the ability to supply components today, we can’t wait forever. We will have to find an alternative. This will apply to all automakers who will delay the decision, ”said Manturov.

The return of the Muscovites

“The foreign company owner has decided to close the Renault factory in Moscow. It’s his right, but we can’t let thousands of workers go unemployed. Therefore, I decided to take the factory to the balance of the city and continue the production of passenger cars under the historic Moskvich brand, — given Words of Moscow Mayor Sergei Sobyanin on his website.

According to him, KamAZ will be the main partner of the project, and Moscow authorities are working on “localizing the production of the maximum number of automobile components in Russia.”

“The production of classic cars with internal combustion engines will be organized in the first place, and the production of electric cars in the future,” the mayor said.

“The automobile plant on Volgogradsky Prospekt has a long and glorious history. It began production of Ford cars almost a hundred years ago. For decades, the legendary domestic “Moscows” were bred here. Since 1998 the plant has been collaborating with Renault and Logans, Dusters and Sanderos rolled off the assembly line. In 2022, we will open a new page in the history of Moskvich.”

On February 25, Renault announced its decision to suspend automobile production in Russia due to “some interruptions in component supply”. Conveyors at the Moscow plant were stopped on February 28.

Earlier, the head of the Renault Group, Luca de Meo, warned in an interview with the Financial Times that the unstable geopolitical situation on the backdrop of the Ukraine crisis could lead to the cessation of automotive production in Russia.

According to RBC, the Renault-Nissan-Mitsubishi alliance, including AvtoVAZ, occupies 35.5% of the Russian car market.

The Russian assets of the Renault group have passed into state ownership, the company will be able to buy back its stake “within six years”. As the head of the Ministry of Industry and Trade Denis Manturov said, this is a deal “for the ruble”, the French concern estimates its assets at € 2.195 billion. According to him, it will be electric vehicles.



Source: Gazeta

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