27 Nov 2014 15:31

Avtovaz could boost output 20% in 2015

SAMARA. Nov 27 (Interfax) - Avtovaz plans to boost output approximately 20% in 2015, partly by producing new vehicles for Renault-Nissan, Bo Andersson, the Avtovaz president, told reporters.

"Avtovaz plans to raise production around 20% in 2015, but we don't have an exact figure as 2014 is not yet over," Andersson said.

Growth next year will be driven primarily by contractual assembly of models for the Renault-Nissan Alliance, including the Renault Logan, Renoult Sandero and Datsun, he said.

In addition, there will be a big increase in production thanks to the release of the Lada Vesta (scheduled for September 2015), the result of which the company will see in 2016, Andersson said.

This year was difficult for all automakers, including Avtovaz, he said, remaking that the company's sales fell 18% and production dropped by 83,000 automobiles.

This morning there were 4,000 incomplete automobiles at the plant, and due to the bad situation with suppliers the company is reducing its production schedule, because it is important to outfit incomplete vehicles and get them to dealers, Andersson said.

But there is also good news in that for the past month Avtovaz has been producing more than 1,000 automobiles daily for Renault-Nissan, he added.

It was reported earlier that Avtovaz plans to produce 544,000 automobiles in 2014, including 400,000 Ladas, and 144,000 Renault, Nissan and Datsun cars.

A source told Interfax that Avtovaz planned to increase production by 27.2% to 692,000 vehicles in 2015.