The production of classic cars has started again in Russia at a former Renault factory near Moscow
After a two-decade hiatus, Russia today resumed production of Soviet-made Moskvich vehicles at a plant near Moscow that French automaker Renault pulled out of, Russia’s Industry and Trade Ministry said.
“The first Moskvich cars will roll off the production line in December 2022,” the plant’s technology partner, truck maker Kamaz, said in a statement.
The reborn Moskvich may return somewhat different. Sources told Reuters that the vehicle will be produced using Chinese automaker JAC’s design, engineering and production platform.
Sales of the Moskvich 3, which is described as a city crossover with a gasoline engine and automatic or manual transmission, will begin in December, according to the ministry.
The prospects for the broader Russian automotive industry are bleak
In May, Renault sold its majority stake in automaker Avtovaz to the Russian state for just one rouble, according to reports, but also with a six-year option to buy it back. It also sold its factory, now renamed Moscow Automobile Factory Moskvich, for another ruble.
With only 600 vehicles planned for production this year, the resumption of Moskvich production is unlikely to change the bleak outlook for the wider Russian auto industry, whose annual sales may fall below 1 million vehicles this year for the first time in modern history of Russia.
The eventual production target of 100,000 Moskvichs a year, some of which will be electric, is well below the average car factory output of 200,000 to 300,000 vehicles.
Tesla produces 22,000 cars a week at its factory in Shanghai.
Western sanctions over Moscow’s military invasion of Ukraine have cut off access to foreign-made components, while many foreign carmakers have pulled out of Russia. Kamaz and the government have set up new supply chains, but have not disclosed details.
“The goal for the near future is to create by the end of 2023 small assembly hubs with the participation of local suppliers,” Industry and Trade Minister Denis Madurov said in a statement.
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