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Avtovaz to manage Nissan plant in St. Petersburg, says minister

Nissan’s assets are currently owned by NAMI, whereas Avtovaz will be involved in the management

MOSCOW, December 9. /TASS/. Russian auto manufacturer, Avtovaz, will manage the St. Petersburg-based facility of Nissan, whose assets in Russia passed into the ownership of FSUE NAMI (the State Research Center of the Russian Federation) earlier, Russia’s Deputy Prime Minister, Industry and Trade Minister Denis Manturov told reporters. The car market is expected to demonstrate better results in the future, as production rates in the country are going to climb, he added.

"It is Avtovaz first and foremost with the comeback of Moskvich, along with Haval that are boosting output volumes. Production will also start again at Nissan’s facility by that time, which we expect to be managed by Avtovaz. Nissan’s assets are currently owned by NAMI, whereas Avtovaz will be involved in the management," he noted.

The ministry explained that it still projects car sales to decrease in 2022 by 55% to 750,000 vehicles.

President of Avtovaz Maxim Sokolov said in mid-October that the company was negotiating the mass assembly of foreign cars at its facilities.

Earlier, FSUE NAMI, which operates under the authority of Russia’s Industry and Trade Ministry, acquired all of Nissan’s Russian assets. In particular, the transactions included the production and research facilities of the company in St. Petersburg, as well as its sales and marketing center in Moscow. Avtovaz will handle the post-sales servicing of the Japanese-brand vehicles, as well as the supply of components and spare parts. The deal includes an option to buy back the stake of Nissan Manufacturing Rus, which can be exercised within the next six years.

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