PRAGUE (AP) -- German car manufacturer Volkswagen AG has signed a deal with Russian automaker GAZ to make its Volkswagen and Skoda brands in Russia.
Skoda Auto AS, which is Czech part of Volkswagen, says that according to a "memorandum of understanding" signed by Volkswagen Group Rus, the cars will be made in a GAZ plant in Nizhny Novgorod in central Russia.
Skoda Auto declined to say Thursday when the production in Russia could start or how many cars Volkswagen intends to make at the plant.
Skoda Auto chief executive Winfried Vahland said in a statement the Russia market is likely to be among the fastest growing in years to come.
He said the cooperation will enable Volkswagen "to quickly increase the local production capacity."
Skoda Auto AS, which is Czech part of Volkswagen, says that according to a "memorandum of understanding" signed by Volkswagen Group Rus, the cars will be made in a GAZ plant in Nizhny Novgorod in central Russia.
Skoda Auto declined to say Thursday when the production in Russia could start or how many cars Volkswagen intends to make at the plant.
Skoda Auto chief executive Winfried Vahland said in a statement the Russia market is likely to be among the fastest growing in years to come.
He said the cooperation will enable Volkswagen "to quickly increase the local production capacity."
