AVTOVAZ may completely withdraw from the EU market due to the introduction of new emissions regulations, in this connection, the company needs state support for the development of new engines, said the head of Udmurtia Alexander Brechalov.
“We face the risk that in 2020 AVTOVAZ will completely withdraw from the EU market, and it is about 5,000 vehicles per year, or 50 million euros per year, in connection with the introduction of new requirements on CO2 emissions”, – quotes A. Brechalov, the press service of the government of the Udmurt Republic. According to him, AVTOVAZ could invest in the development of new engines only, with co-financing from the state.
“So we have a proposal: to renew the measures of state support of producers of high-tech products in the form of subsidies for compensation of part of expenses related to the certification of products in foreign markets when implementing the investment projects and the development of new components,” – said the head of the Udmurt Republic.
Recall that AVTOVAZ in the spring of this year took the decision to stop the supply of LADA cars in Europe. The reason for the departure on the enterprise known as stricter environmental regulations. Introduced last fall, the Euro 6d-TEMP requires serious investment in the modernization of engines. Meanwhile, the press service of AVTOVAZ announced that the company has plans to create, in close cooperation with partners from the Alliance global model and return to the European market. Apparently, we are talking about the new generation of SUV LADA 4×4.
As reported by “AUTOSTAT”, for the first ten months of 2019, the implementation of LADA cars in the European Union amounted to 4150 cars, which is 8% less compared with the same period last year. The share of LADA has only 0,03% of the total EU market.
What do you think is the future for AVTOVAZ in the next couple of years?