Russian automaker GAZ starts car assembly in Viet Nam

Monday, Nov 04, 2019 18:00

GAZ automobile models introduced at Vietnam AutoExpo 2018. — VNA/VNS Photo

The first automobile parts for assembly from Russian automaker GAZ Group were en route to Viet Nam, said Russian Deputy Prime Minister Maxim Akimov.

Speaking to TASS, Akimov said GAZ would start car assembly in Viet Nam soon.

Akimov, who is also chairman of the Russian subcommittee of the Russia-Vietnam intergovernmental commission for trade, economic and scientific and technical cooperation, said industrial co-operation, including the assembly of automobiles in Viet Nam, had been discussed at a meeting of the intergovernmental commission.

“Most of the issues have been regulated with the Vietnamese side. More than 300 car kits are already on their way to Viet Nam by sea, to be assembled here,” Akimov said.

There are plans to implement a protocol, concerning the support of automobile production in Viet Nam. “380 car kits are planned to be delivered to Vietnam until the end of the year, 170 of which are currently on their way: Cityline minibuses on the base of Gazel,” he told TASS.

According to Izvestiya newspaper, GAZ has plans to create a joint venture with Vietnamese Thanh Dat Group for the assembly of automobiles in the country.

Director of GAZ Group on the Development of International Business Leonid Dolgov told TASS that Viet Nam is amongst the priority markets for exports, including Africa and the Middle East, Latin America and Eurasia.

According to the revised protocol on supporting the production of motor vehicles in the territory of Viet Nam, which was signed between the two countries in December 2017, it allows Russian automobile manufacturers, including KAMAZ, GAZ and UAZ to cooperate with Vietnamese partners to set up a number of joint ventures to produce and assemble trucks, and cars with 10 seats or more, terrain vehicles and some specialised vehicles in Viet Nam.

These joint ventures are allowed to import duty-free 2,550 completely-built units and 13,500 sets of auto parts for assembly from 2018 to 2022. The products will be sold in the Vietnamese market explore capacity and tastes of Vietnamese customers.

GAZ is a leading automobile manufacturer in Russia. The company’s product portfolio includes light and medium-duty commercial vehicles, heavy-duty trucks, buses, engines, and over 500 types of specialised vehicles. — VNS

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