DaimlerChrysler mulls Russia car assembly site

1st November 2004, Comments 0 comments

1 November 2004 , STUTTGART - German-US car maker DaimlerChrysler is considering building its own assembly plant in Russia, a spokesman said Monday. The Germany-based company is "presently considering several options at different locations", the spokesman said, confirming a German press report. The business newspaper Handelsblatt reported on Monday that St Petersburg was among the locations under consideration. It quoted Russian government sources as saying the company had already bought building land for

1 November 2004

STUTTGART - German-US car maker DaimlerChrysler is considering building its own assembly plant in Russia, a spokesman said Monday.

The Germany-based company is "presently considering several options at different locations", the spokesman said, confirming a German press report.

The business newspaper Handelsblatt reported on Monday that St Petersburg was among the locations under consideration.

It quoted Russian government sources as saying the company had already bought building land for a factory.

According to the report, DaimlerChrysler is considering building cars in Russia by the "completely knocked down" method, in which a vehicle is imported in parts and assembled locally.

The company is following major rivals in attempting to expand into Russia and Ukraine, which are regarded as expanding car markets.

Ford has built a plant for the production of its Focus model near St Petersburg, while BMW, Korean car maker Kia and General Motors have cars assembled in Russia.

Renault has meanwhile increased its share in the Moscow firm Avtoframos and Volkswagen is looking at several locations for its own assembly plant in Russia, Handelsblatt reported.

DPA

Subject: German news 

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