AVTOVAZ expects the Russian new car market to double by 2025

AVTOVAZ expects the Russian new car market to double by 2025

 

RNS. – Avtovaz predicts an increase in the Russian new car market from the 1.6 million units in 2017, to 3.1 million units in 2025 according to an optimistic scenario, as stated by the company president Yves Karakatzanis, during the automotive forum IMAF 2018. 

The pessimistic scenario, on the other hand, predicts a rise to 2.5 million units in 2025.

The total sales in the automobile market may reach 1.7-1.8 million units in 2018.

According to the head of the company, the pace of the growth depends on macroeconomic factors, government support measures for car manufacturers and automobile market.

“We need co-financing of state investments in certain areas” – said Karakatzanis. 

Karakatzanis has reminded that by the end of the six months period, almost 21% of the Russian new car market belongs to Lada, and the consolidated revenue has risen by 31.5% to 135 billion rubles.

The staff number of Avtovaz amounts to 46,500 people as of 30 June 2018, including the 36,200 employees in Togliatti.

The facility in Togliatti has manufactured 210,000 Lada, Renault, Nissan and Datsun vehicles within six months. 62,000 Lada automobiles have been produced in Izhevsk during the same period, according to the presentation of the company chairman.

The localisation rate exceeds 86% for Lada models, still remaining over 75% with the inclusion of Renault, Nissan and Datsun. The company aims to hit the 80% mark and go beyond in localisation.

Avtovaz manufactured 5 Lada models in 19 versions.