BAIC Looks to Enhance Cooperation with Russia’s BAW Motor Corporation

Chinese Beijing Automotive Industry Holding Co., Ltd. (BAIC) and Ulyanovsk-based BAW Motor Corporation will sign final agreement on creating a joint venture on July 19th. A total amount of RUB5 billion (approx. €125 million) will be invested in a new plant which will produce off-roaders, minivans, small and medium buses as well as 1-8 ton light and medium duty trucks. With a workforce of around 1.500, the facility is expected to reach its full capacity of 40 thousand units by 2015.

A tentative agreement between BAIC and BAW Motor Corporation was signed in 2009. The JV currently assembles BAW light trucks and medium buses.