The mass production of Zetta electric car has been postponed

The mass production of Zetta electric car has been postponed


RusAutoNewsCom.- Zetta has postponed the mass production of the City Modul 1 electric car beyond 2020, due to the fact that the company has not received the 99.9 million loan from the Industrial Development Fund (IDF), as told by a federal official to Vedomosti

Zetta wanted to launch mass production in the beginning of 2020, however, the plans had to be moved to the end of the year due to the pandemic. IDF has been created by the Ministry of Industry and Commerce to support industrial investment projects, primarily the manufacturing industries, issuing super-preferential loans for specific projects at the expense of budgetary funds. Zetta, for example, had applied for a 5-year loan at 1% annual interest.

The Advisory Board is of the opinion that the resources of the company and the borrowed funds will not be enough to launch production from the scratch, as explained by an IDF representative. Zetta is an electric car start-up project itself, while the funds are designed to be lent to already operating companies that could repay a loan through different activities, the federal official added. 

570 million rubles have already been invested in the development of models, the release of prototypes and the creation of a production site from the company’s own funds. An additional amount of 139 million rubles has also been invested in the launch of production to cover the costs of the initial stage, which was requested by the company from the fund, as told by the IDF representative. 

Zetta plans to manufacture electric cars at its production facilities in Togliatti, which has a maximum annual capacity of 15,000 units. Three versions of the electric car are intended for production: basic, medium and the top-version. The layout is designed for three passengers and a driver. The basic version will cost 550,000 rubles and the vehicle will be able to travel 180 km, once fully charged. The 4×4 top-version and the front-wheel drive medium version will have a travel range of 360 km.

As reported earlier, Zetta was announced as the cheapest electric car in the world.