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AVTOVAZ has finalised the revision, which began early October, while GM-AVTOVAZ, producer of Chevrolet-Niva, worked on slowing down its assembly lines to a two-shift regime, the company’s press service said.
General Motors in St. Petersburg began working for eight hours a day from Monday to optimise production due to the demand. The company may fire 500 staff, Maxim Meksin of the committee on industrial policies and innovations said.
General Motors still plans to begin CKD assembly of new models in 2015. “Our CKD production is Chevrolet TRailblaizer. We also consider more new models,” GM’s head Romuald Rytvinsky told TASS. “The CKD production may be up to 7,000 vehicles.
Ford plant in Vsevolzhsk, the Leningrad Region, and Volkswagen, in the Kaluga Region, too, have declared they will be working shorter hours.
According to the Association of European Businesses Russia’s automotive market slumped 12.1% in January-August 2014. A total of 1,582 million new cars were sold in that time - 217,000 less than in January-August 2013. The production of cars reduced by 4.6% in contrast to the same period last year to 1.2 million. The sales of AvtoVAZ’s Lada cars plummeted by 32% in August in annual terms. There has been a slump in the market of many popular makes and models. In August alone Chevrolet sales were down by 50%, Ford, by 57%, Daewoo, by 58%, Suzuki, by 58% and Peugeot and Geely, by 56%.