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Volkswagen Group Rus and GAZ Group celebrate the fifth anniversary of partnership in Nizhny Novgorod

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15.12.2016
  • Five years of successful and productive cooperation
  • 170 000 vehicles produced at the production site since the signing of cooperation agreement

Nizhny Novgorod/Moscow, December 15, 2016 — Volkswagen Group Rus and GAZ Group celebrate the fifth anniversary of the cooperation in Nizhny Novgorod. Since the start of production 170 000 units of ŠKODA Yeti, Volkswagen Jetta and ŠKODA Octavia have been produced at the production site.

Patrick Husemann, Florian Reiter, Marcus Osegowitsch, Natalia Varyukhina, Vladimir Demidov, Patrik Andreas Mayer

Patrick Husemann, Florian Reiter, Marcus Osegowitsch, Natalia Varyukhina, Vladimir Demidov, Patrik Andreas Mayer

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Volkswagen Group Rus and GAZ Group signed the contract assembly agreement in Nizhny Novgorod in June, 2011, and only half a year later, in December of 2011, the SKD production of the ŠKODA Yeti was launched. The full-cycle production (CKD) of the ŠKODA Yeti, including welding, painting and assembly, was launched in December, 2012.

In 2013 the production of Volkswagen Jetta and ŠKODA Octavia was launched at the manufacturing site in Nizhniy Novgorod. In total, 170 000 vehicles were produced under the agreement between Volkswagen Group Rus and GAZ Group to present day. The maximum production capacity of the regional enterprise is 132 000 vehicles per year. The total investment in the machinery, equipment and infrastructure amounts to 300 million euros.

«Volkswagen Group Rus successfully fulfils its long-term localization strategy and guarantees reliability and high quality of the produced vehicles. Thanks to the cooperation with the GAZ Group we have a production flexibility for fulfilling market demand as well as professional team capable to provide production process in accordance with the international standards», said Marcus Osegowitsch, General Director of Volkswagen Group Rus.

 
Marcus Osegowitsch, Ekaterina Pivovarova, Ivan Karnilin, Florian Reiter, Natalia Varyukhina, Vladimir Demidov

Marcus Osegowitsch, Ekaterina Pivovarova, Ivan Karnilin, Florian Reiter, Natalia Varyukhina, Vladimir Demidov

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«170 000 vehicles is a great result of five-year partnership with Volkswagen Group Rus, and it proves the efficiency of our cooperation. GAZ Group’s manufacturing platform and skilled personnel ensure high quality of the products in full compliance with our partner’s strict requirements. We are continuing our fruitful cooperation with Volkswagen Group Rus on the current projects and we believe to have all the necessary resources for implementation of potential new co-projects», said Manfred Eibeck, CEO of Russian Machines Corporation.

 

About Volkswagen Group Rus

Volkswagen Group Rus brings together the work of the six brands of the Volkswagen Group that are available on the Russian market — Volkswagen, ŠKODA, Audi, Volkswagen Commercial Vehicles, Bentley and Lamborghini. In 2015, the company’s sales in Russia reached about 165,000 vehicles, of which 135,000 were produced in Russia. The market share of Volkswagen Group in Russia reached 10.3% in 2015.

Starting from November 2007, Volkswagen Group Rus has been manufacturing automobiles in Kaluga, 170 km southwest of Moscow. In October 2009, the plant celebrated the official launch of its full-cycle production in a ceremony attended by top government officials. At the moment, Volkswagen Tiguan, Volkswagen Polo and ŠKODA Rapid are being produced at the plant in Kaluga. On June 14, 2011, Volkswagen Group Rus and GAZ Group signed an agreement for the contract assembly of Volkswagen and ŠKODA automobiles at the GAZ plant in Nizhny Novgorod. In accordance with that agreement, a full cycle production of ŠKODA Yeti, Volkswagen Jetta and ŠKODA Octavia has already begun at GAZ.

Volkswagen Group is committed to the Russian market and is consecutively fulfilling its investment program in Russia. A total investment in the construction and modernization of the plant in Kaluga reached 1.18 billion euros, and a total investment in its business in Russia is 1.5 billion euros that makes Volkswagen Group one of the largest foreign investors in the Russian automotive industry.

 

About GAZ Group

 
Volkswagen Group Rus' production site in Nizhny Novgorod

Volkswagen Group Rus' production site in Nizhny Novgorod

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GAZ Group (www.gazgroup.ru) is the largest manufacturer of commercial vehicles in Russia. It produces light and medium duty commercial vehicles, buses, trucks, passenger cars, powertrains and automotive components. The company’s primary shareholder is Russian Machines, a machine building holding that is a part of Basic Element. GAZ Group incorporates 13 plants in 8 regions of Russia. It is the leader in the commercial vehicles market of Russia and occupies over 50% of the light commercial vehicles segment and around 80% of the bus segment. The flagship product line of the company is its NEXT-generation light commercial vehicles, trucks and buses. The headquarters of GAZ Group is located in Nizhny Novgorod.



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