· Volkswagen strengthens Russian business and cooperates with GAZ Group

According to foreign media reports, in order to reinvigorate the Russian market, the Volkswagen Group has strengthened its projects in Russia to increase its Volkswagen brand, Skoda brand and commercial vehicle sales. Volkswagen said on June 15th that it had reached an agreement with the Russian GAZ Group to produce Volkswagen and Skoda cars at GAZ's Gorky plant by 2025. The agreement also said that Volkswagen will also carry a 2.0-liter diesel engine for the light commercial vehicle produced by GAZ.
In another statement, Volkswagen stated that its truck and bus department had signed a letter of intent with GAZ to review the long-term business cooperation of commercial vehicles. Volkswagen said that Volkswagen and GAZ are considering establishing a strategic partnership for supply and component joint assembly and will review possible projects in the next phase. GAZ is already using automotive parts from Volkswagen's Scania and MAN heavy truck divisions.
“With this letter of intent, we have taken an important step in our global leadership strategy and clearly demonstrated our commitment to the Russian market,” said Volkswagen Trucks head Andreas Renschler.
The Russian auto market was booming, but the long-term decline led to GM leaving Russia in 2015, but Volkswagen has been investing and started manufacturing the engine at a new plant in Kaluga two years ago, about 170 in southwestern Moscow. Kilometers.
But there are signs that sales are rising, and Russian new car sales rose by 6.9% in April and climbed 15% in May. The Volkswagen Group, which includes the Audi and Porsche brands, holds 11.2% of the Russian automotive market. According to data from the Russian European Business Association, the cumulative sales of the Volkswagen Group in Russia rose to 64,648 units in May, an increase of 6.8 percentage points year-on-year. Russian auto industry sales increased by 5.1% in the first five months of this year.

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