Ian
04-02-2008, 20:48
Russia's AvtoVAZ may scrap Magna car deal
MOSCOW (Reuters) -- AvtoVAZ, Russia's top carmaker, may partner with Renault to assemble new car models in Russia, scrapping an agreement with Canadian auto parts maker Magna International Inc., a newspaper reported today.
Vedomosti business daily quoted two unnamed sources close to AvtoVAZ as saying Renault had proposed alternative plans for the expansion and modernization of AvtoVAZ's assembly lines. Renault in December agreed to buy 25 percent of AvtoVAZ.
The newspaper said AvtoVAZ and Magna International, part-owned by Russian billionaire Oleg Deripaska, had preliminarily agreed a $2 billion project to produce 450,000 Class C Ladas a year by 2009. AvtoVAZ could not be reached for comment. The newspaper said Magna declined to comment.
Magna ranks No. 4 on the Automotive News list of the top 100 global suppliers with worldwide original equipment automotive parts sales of $23.88 billion in 2006.
SOURCE: Automotive News
MOSCOW (Reuters) -- AvtoVAZ, Russia's top carmaker, may partner with Renault to assemble new car models in Russia, scrapping an agreement with Canadian auto parts maker Magna International Inc., a newspaper reported today.
Vedomosti business daily quoted two unnamed sources close to AvtoVAZ as saying Renault had proposed alternative plans for the expansion and modernization of AvtoVAZ's assembly lines. Renault in December agreed to buy 25 percent of AvtoVAZ.
The newspaper said AvtoVAZ and Magna International, part-owned by Russian billionaire Oleg Deripaska, had preliminarily agreed a $2 billion project to produce 450,000 Class C Ladas a year by 2009. AvtoVAZ could not be reached for comment. The newspaper said Magna declined to comment.
Magna ranks No. 4 on the Automotive News list of the top 100 global suppliers with worldwide original equipment automotive parts sales of $23.88 billion in 2006.
SOURCE: Automotive News