Volga Brand to Invest 60 Billion Rubles in Localization

The Volga brand revival project is entering a new phase. Under a 10-year special investment contract with the Russian Ministry of Industry and Trade, Passenger Light Automobiles (PLA) plans to allocate at least 60 billion rubles to localize its model lineup. Ixbt.com reports .

Currently, the brand lineup includes the K40 and K50 crossovers and the C50 sedan. All these models are based on the Geely Atlas, Geely Monjaro, and Geely Preface platforms. Production has been established in Nizhny Novgorod at a plant that previously assembled Volkswagen and Skoda vehicles, with an annual capacity of 110,000 cars.

The project aims to go beyond semi-knocked-down (SKD) assembly by mastering the production of internal combustion engines and automatic transmissions. The company intends to develop its own engineering solutions and establish a local component base.

Experts suggest that given the project's scale and localization level, actual investments could significantly exceed the announced 60 billion rubles. Hundreds of finished vehicles are currently awaiting the start of sales at dealership centers.