Russia relaunches Soviet-era Moskvich with Chinese design
Production resumes at a plant formerly owned by Renault, which sold it for one rouble after Russia invaded Ukraine
23 November 2022 - 17:11
byGleb Stolyarov and Alexander Marrow
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Chinese carmaker JAC’s design, engineering and production platform will be used in the revived Moskvich brand.
Picture: 5KOLESO.RU
After a two-decade hiatus, Russia on Wednesday relaunched production of the Soviet-era Moskvichbrand at a plant near Moscow given up by the French carmaker Renault, Russia’s industry and trade ministry said.
Renaultsold its majority stakein carmaker Avtovaz in May to the Russian state for reportedly just one rouble, but with a six-year option to buy it back. It sold itsplant, now renamed the Moscow Automobile Factory Moskvich, for another rouble.
With just 600 vehicles slated for production this year, the relaunch is unlikely to alter the gloomy outlook for the wider industry, whose annual sales could end the yearbelow 1-millionfor the first time inRussia’s modern history.
The ultimate target of producing 100,000Moskvich vehicles a year, some of which will be electric,is far below the industry average for a car plant of between 200,000-300,000. Tesla makes 22,000 carsa week at its Shanghai plant.
“The first Moskvich cars will come off the production line in December 2022,”truck maker Kamaz, the plant’s technological partner, said in a statement.
A Soviet-era Moskvich 403 is seen in the street outside Moscow.
Picture: REUTERS
The revived Moskvich (“Muscovite”) may be returning with a twist. Sources say Chinese carmakerJAC’s design, engineering and production platform will beused to producethe brand.
Western sanctions over Moscow’s military campaign in Ukraine have sorely hampered access to foreign-made components, while many foreign car manufacturers have left. Kamaz and the government have established new supply chains, but not disclosed details.
“The task for the near future is to establish small-node assembly processes with the involvement of local suppliers by the end of 2023,” industry and trade minister Denis Manturov said in a statement.
The ministry said the launch of full-scale production would provide jobs for about 40,000 more people.
Sales of the Moskvich 3, described as an urban crossover with a petrol engine and either automatic or manual gearbox, will begin in December, the ministry said.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Russia relaunches Soviet-era Moskvich with Chinese design
Production resumes at a plant formerly owned by Renault, which sold it for one rouble after Russia invaded Ukraine
After a two-decade hiatus, Russia on Wednesday relaunched production of the Soviet-era Moskvich brand at a plant near Moscow given up by the French carmaker Renault, Russia’s industry and trade ministry said.
Renault sold its majority stake in carmaker Avtovaz in May to the Russian state for reportedly just one rouble, but with a six-year option to buy it back. It sold its plant, now renamed the Moscow Automobile Factory Moskvich, for another rouble.
With just 600 vehicles slated for production this year, the relaunch is unlikely to alter the gloomy outlook for the wider industry, whose annual sales could end the year below 1-million for the first time in Russia’s modern history.
The ultimate target of producing 100,000 Moskvich vehicles a year, some of which will be electric, is far below the industry average for a car plant of between 200,000-300,000. Tesla makes 22,000 cars a week at its Shanghai plant.
“The first Moskvich cars will come off the production line in December 2022,” truck maker Kamaz, the plant’s technological partner, said in a statement.
The revived Moskvich (“Muscovite”) may be returning with a twist. Sources say Chinese carmaker JAC’s design, engineering and production platform will be used to produce the brand.
Western sanctions over Moscow’s military campaign in Ukraine have sorely hampered access to foreign-made components, while many foreign car manufacturers have left. Kamaz and the government have established new supply chains, but not disclosed details.
“The task for the near future is to establish small-node assembly processes with the involvement of local suppliers by the end of 2023,” industry and trade minister Denis Manturov said in a statement.
The ministry said the launch of full-scale production would provide jobs for about 40,000 more people.
Sales of the Moskvich 3, described as an urban crossover with a petrol engine and either automatic or manual gearbox, will begin in December, the ministry said.
Reuters
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