Ukraine’s two largest car producers Bogdan and ZAZ are joining forces to build a $300m car producing plant in Russia.
The plant will be located in the Nizhniy Novgorod region in central Russia and will start producing cars from 2009 for the Russian market and other former Soviet republics, an official told Reuters.
The Ukrainian companies reportedly plan to produce 25,000 Lanos-Chevrolet, 6,000 buses and about 25,000 trucks in the first years after the plant’s completion.
Reuters noted that Ukraine’s Bogdan controls around a dozen companies producing buses, cars and trucks. ZAZ or Zaporizhya Automobile Building Plant is a leading producer of cars in the Ukraine.