The former Volkswagen plant in the Russian Federation will be sent to another downtime, although the assembly line was planned to be launched

Employees of the former VW plant in Kaluga are offered to pay three salaries, as well as write off a number of debts upon dismissal.

The German manufacturer Volkswagen, like many other foreign companies, decided to sell its Russian business back in 2022, and then began looking for buyers. However, the deal was finally completed only in May of this year. As a result, Art-Finance LLC, a structure that is part of the large auto dealer holding company Avilon, became the new owner of the former VW assets in the Russian Federation.

Let us remind you that according to the report of the German concern, the transaction amount was 125 million euros. As a result, Avilon became the owner of the production site in Kaluga, Volkswagen Group Rus LLC, Volkswagen Components and Services LLC, Scania Leasing LLC, Scania Finance LLC and Scania Insurance LLC. Last summer it became known that the former Russian subsidiary of VW had changed its name to AGR Automotive Group.

In August, Russian Minister of Industry and Trade Denis Manturov stated that car production at the former Volkswagen plant in Kaluga could be launched before the end of this year; The governor of the Kaluga region, Vladislav Shapsha, spoke about the same thing a little earlier. Apparently, plans have changed.

As TASS reports, the Kaluga automobile plant will be sent to another downtime: the corresponding order will be signed from December 1, 2023 to February 29, 2024. According to the ASM trade union, a voluntary layoff program has been launched at the former VW plant. Employees who decide to write an application before the end of this month are offered payment of three salaries, as well as write-off of debts on subsidies for real estate, cars and vacation.

It is reported that those plant workers who decide to remain on staff will have a new work schedule from 2024. It is not yet known when exactly the assembly line at the Kaluga Automobile Plant is planned to resume. There is still no official information about which company will become a partner, as well as which brands of cars will be produced here. According to rumors, the Chinese company Chery could be interested, but the parties did not confirm this assumption.

AGR has production facilities designed to produce up to 225 thousand cars per year. Until the spring of 2022, the company produced the Volkswagen Tiguan crossover, Volkswagen Polo and Skoda Rapid liftbacks. VW also had its own engine plant in the Russian Federation, designed to produce 150 thousand gasoline engines per year.

Recall that last summer it was reported that car production at the former Russian Mercedes-Benz plant will be resumed in 2024. The owner of this enterprise is Avtodom Group of Companies, and Mercedes-Benz Rus JSC was replaced by MB Rus JSC. In this case, there is no official information yet about which company will be the partner. Previously it was assumed that Hongqi brand cars could end up on the assembly line in the Moscow region.