AvtoVAZ plans to apply to the Ministry of Industry and Trade after the adoption of an updated strategy for the development of the automotive industry to amend its special investment contract (SPIC). This was reported to Vedomosti on the sidelines of the Innoprom forum in Yekaterinburg by the company’s president and CEO Maxim Sokolov. According to the instructions of President Vladimir Putin, the strategy for the development of the automotive industry, updated taking into account today’s realities, should be developed and approved before September 1.
“The SPIC was concluded under the previous shareholder of AvtoVAZ and, under the current conditions, has partially ceased to be relevant,” Sokolov explained. He also specified that the strategy of AvtoVAZ will also be included in the overall strategy of the industry. AvtoVAZ is now the holder of two SPIKs at once. The first one was concluded with the Ministry of Industry and Trade and the regions in January 2019, Renault, Nissan and Mitsubishi are involved parties. The second SPIC was concluded in the summer of the same year by GM-AvtoVAZ, a joint venture between AvtoVAZ and American GM, which produced the Chevrolet Niva SUV. In December 2019, AvtoVAZ bought out 50% of the joint venture from an American partner for 472 million rubles, becoming the owner of 100% of the plant. A year and a half later, the assembly of the model was transferred to the main site of AvtoVAZ, and the former JV plant was mothballed.