Russia’s largest car manufacturer AvtoVAZ is to further cut production in the coming months, endangering its full-year targets, the daily Vedomosti reported.
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Quoting an official in the central Samara region where the car maker is based, the paper said Lada maker AvtoVAZ was planning to produce 29,000 cars in April and only 23,000 in May, according to AFP.
Between February to March, it produced 65,000 cars after shutting down its plant in the city of Tolyatti in January for an extended Christmas break to cope with slackening demand.
Vedomosti said that to reach the annual production target of 590,000 units set two weeks ago by AvtoVAZ chief executive Boris Alyoshin, the company after May would have to produce an average of 68,000 cars monthly.
However it cited an AvtoVAZ source as saying that under a worst case scenario, the company would only produce 30,000 cars monthly until the end of the year.
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By GlobalDataIn 2008, AvotVAZ sold 622,000 cars in Russia alone, Vedomosti said.
The car maker, now 25% owned by Renault, briefly stopped production again in early March amid a dispute with suppliers.
