Ford Sollers, the 50:50 joint venture established earlier this year between Ford and Sollers OJSC, has announced that it will build the Ford Explorer in Tatarstan from 2012. This SUV will be the first Ford product to be manufactured at a Sollers plant in the Russian republic.
“For Sollers, this is an historic event. Our strategy has been to develop a partnership with a world-class automotive player that can offer a full range of vehicles suitable for the Russian market. Ford is the partner we have been looking for to support this vision,” Vadim Shvestov, general director of Sollers stated.
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The 1 October announcement was timed to coincide with the start of operations for the JV. The Explorer, an additional Ford product for the Russian market, will join the Mondeo as well as the new Focus, which are currently built in St. Petersburg, and the Ford Transit medium commercial vehicle, which also will be built in Tatarstan from 2012.
As well as building passenger vehicles and LCVs, Ford Sollers will manufacture engines, operate a stamping facility that will provide a higher level of local parts content for Ford vehicles built in Russia, and establish research and development activities. Further, the JV will be responsible for the import and distribution of all Ford brand products, parts and accessories in Russia.
According to rules set by the Russian government, OEMs assembling vehicles in the country must source engines, gearboxes and 70 percent of components locally to avoid tariffs of as much as 30 percent on overseas parts shipments.
Author: Glenn Brooks
