AvtoVAZ, ASIA AVTO sign MoU on New CKD Production Plant in Kazakhstan

According to this agreement, the construction of the plant will begin in 2012. It will include vehicle body welding, painting and assembly facilities as well as component production lines. The first stage of the project will start operation in 2015 with an annual production capacity of 90 thousand cars, while the plant’s output will grow with an additional 30 thousand units per year in the second stage in 2017. AvtoVAZ did not specify what models will be assembled at the Kazakh plant. According to an Asia Avto representative, the facility will produce the Lada Granta, the Lada 4x4/Niva and two other models which will based on a Renault-Nissan platform. Locally produced cars will be sold in Kazakhstan, Siberia and in the Russian Far East, as well as in Central Asian countries and in the Caucasus.