FAW Liberation Forms Joint Venture with Russian Gorky Group

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A few days ago, FAW Group and the Russian Gorky Automobile Group signed a joint venture agreement, according to the agreement the two parties set up a joint venture, and assembly of "Liberation card" trucks at the Miyas Ural Automobile Manufacturing Plant.


Liberation J6


It is understood that in order for the manufacturer to assemble the " Liberation Label" truck, the Yasolalar Automobile Plant will upgrade a production line dedicated to the assembly of the vehicle. In addition to diesel engines launched by the Yaroslavl plant to provide, the front and rear axle cab are manufactured in the plant. By then, the production capacity will reach 30,000 vehicles/year, but in 2012 it plans to produce 10,000 vehicles. The investment is expected to be 50-60 million US dollars.

It is reported that the joint venture with FAW Group will facilitate the expansion of the Gorky Group's truck market share. At present, the Group owns 50% of the Karmaz shares and 18% of the Ural shares. According to the analysis of experts, the price of the assembled Jiefang brand car is expected to be 210-2.2 million rubles when it is put on the market, which is similar to the average price of the Kamaz truck and has strong market competitiveness.

About Gorky Automobile Group:
The Russian Gorky Automobile Group was established in 1930 and was the product of Stalin's first five-year plan for the development of the former Soviet Union industry. The boss was the Russian metal tycoon Oleg Deripaska. Gorky Automobile Group is Russia’s second-largest and seventh-largest commercial vehicle manufacturer in the world, with an annual output of 200,000 vehicles. This year Gorky Automobile Group plans to achieve a sales revenue of 3.8 billion U.S. dollars, and strives to increase annual sales revenue to 6 billion U.S. dollars by 2011.



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