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May 30, 2012, 4:20 am
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NISSAN ANNOUNCES MAJOR INDUSTRIAL EXPANSION IN RUSSIA
- Further localization to support significant market growth -
St Petersburg Plant to double manufacturing capacity
Next generation Qashqai to be produced in St Petersburg for Russian
Togliatti Plant to play main role in Datsun industrialization in
Up to 80% of sales to be produced locally by 2016
MOSCOW (Russia) Monday 21st May - Today Nissan made a raft of major
industrial announcements confirming plans for further significant
localization within the Russian market.
The announcements, made by Nissan Executive Vice President Colin Dodge
during a visit to Moscow, demonstrate Nissan's long term commitment to
Russia and underline the company's plans to continue expanding its
local presence within the market.
Nissan is targeting a 10% share of the rapidly growing Russian market
by 2016 (up from 5.9% today) which will be achieved by tripling annual
sales from the 2011 total of 161,000 units.
To support this, capacity at the St Petersburg Plant will double to
100,000 units in 2014FY The announcement follows last year's capacity
increase at the plant which currently manufactures the Teana sedan,
X-TRAIL SUV and Murano crossover, to 50,000 following the introduction
of a third production shift.
Nissan will now invest a further €167 Mn to add 50,000 square metres
of new production facilities, including Press and Plastics Shops. As
well as bringing total plant capacity to 100,000 units, the expansion
will enable St Petersburg to produce up to five different models
This will include the next generation Qashqai which will be built
locally for Russia in St Petersburg, while Sunderland Plant will
continue production of the popular crossover for other markets.
Nissan is also exploring further opportunities provided by its
strategic partnership in Russia. The company recently signed a
Memorandum of Understanding with Alliance partner Renault and Russian
Technologies for the Alliance to increase its stake in AvtoVAZ -
Russia's largest car maker - from 25% to over 50%.
As a direct result, Nissan can also confirm that the AvtoVAZ Plant in
Togliatti will play a major role in the industrialization of the
Datsun brand in Russia.
In March it was announced that Nissan will launch Datsun initially in
high-growth markets, including Russia, to fulfill the unmet needs of a
growing number of customers through exciting, locally developed and
The brand will play a major role in the company's business expansion
plans in Russia, where it is anticipated Datsun could contribute up to
a third of Nissan's total sales.
Colin Dodge said: "Russia is Nissan's largest European market and
is going to grow significantly in both size and importance over the
mid-term, and could account for around a third of our overall European
sales by 2016.
"Nissan already has a very strong local presence and, today, we
are the largest Japanese car maker in Russia and one of the largest
overseas brands, but we want to triple sales and double market share
over the next four years.
"To achieve this we are going to continue placing the customer at
the heart of everything we do by offering innovative, relevant models
that, increasingly, are developed and produced within the
By 2016 up to 80% of Nissan's sales within Russia will be manufactured
locally, ensuring the model range will fully meet customers
expectations in terms of quality, choice and delivery lead time.
In FY 2011 Nissan achieved 161,000 unit sales in Russia representing a
massive 57% increase on 2010. From early next year, Nissan will
compete in the mainstream segment for the first time following the
launch of the all-new Almera sedan.
The car, which will be produced locally in Togliatti, was developed
specifically for the Russian market and will offer outstanding value,
unique Japanese design, interior space not previously available in
this market sector and world-class quality.
Nissan in Russia
Russia is Nissan's largest single European market and is a key focus
for expansion under the company's 'Nissan Power 88' mid-term plan.
Nissan is already established as Russia's top-selling Japanese brand
and currently holds 5.6% of the overall market. Last year St
Petersburg plant's 1600 -strong workforce produced more than 43,000
X-Trails, Teanas and Muranos for sale within Russia.
Nissan in Europe
Nissan has one of the most comprehensive European presences of any
overseas manufacturer, employing more than 14,500 staff across
locally-based design, research & development, manufacturing,
logistics and sales & marketing operations. Last year Nissan
plants in the UK, Spain and Russia produced 677,000 vehicles including
mini-MPVs, award-winning crossovers, SUVs and commercial vehicles.
Nissan now offers 24 diverse and innovative products for sale in
Europe today, and is positioned to become the number one Asian brand
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