Volkswagen plans to start assembling light commercial vehicles (LCVs) at its Russian plant in the city of Kaluga in May, the company has said in a statement.
The company had been mulling the move in response to high duties applying to imports and reduced demand for cars in Russia.
Volkswagen plans to start assembling Volkswagen T5 panel vans and Volkswagen Caddy light vans in Russia.
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Volkswagen launched its Russian car plant in November 2007. It assembles Skoda and Volkswagen cars. In 2008, the plant produced over 60,000 cars.
