Suppliers join carmakers' charge into Russia; Companies gear up for anticipated production surge.(News)

Automotive News, May, 2008 by Mayer, Bettina

Byline: Bettina Mayer, Lawrence J. Speer

Automotive suppliers are joining carmakers in a rush to set up factories in Russia.

European suppliers are leading the charge, but North American suppliers are looking to Russia for growth, too. Consider Federal-Mogul Corp.

In March, Federal-Mogul and Kamaz, a leading maker of heavy-duty trucks in Naberezhnye Chelny, Tatarstan, set up a 50-50 joint venture to produce pistons, piston rings and cylinder liners for Kamaz's engines. Federal-Mogul will manage the plant, which will employ more than 300 people in Naberezhnye Chelny by year end. Part of the plant's output will be exported.

Federal-Mogul set up its first piston and ring operation in Togliatti, Russia, in 2006. It now has three...

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