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Industry: Email Alert RSS FeedSkoda to gain with VW's new plant in Russia.(Volkswagen AG)(Brief article)
Automotive News Europe, June, 2006 by Frink, Lyle
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Byline: Lyle Frink
Volkswagen group's decision to build a factory in Russia's Kaluga region has one immediate beneficiary: Skoda.
Europe's largest automaking group is expanding its presence in the booming Russian market and VW wants its Czech subsidiary Skoda to lead the way.
"This is part of our area strategy, which is based on new products and new markets," said Skoda Chairman Detlef Wittig, who also heads VW's push into Russia.
VW signed a deal May 29 to spend [euro]370 million to build an assembly plant 160km southwest of Moscow.
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