“TagAZ” can resume the work with the help of Fiat Chrysler in 2014

Authorities of Rostov region looks forward the participating of automotive group Fiat Chrysler in the resumption of work of assembly plant “TagAZ” in the current year, said the Deputy Governor, Minister of Industry and Energy of the region, Alexander Grebenshikov.

According to “Prime” agency, Taganrog car plant stopped the production in autumn of 2012. Rostov arbitration declared “TagAZ” as the bankrupt on January 31st, 2014 and it opened a procedure of bankruptcy proceedings for a period of five months. Payables of plant exceed 25 billion rubles (the major lenders are - Sberbank, VTB and Gazprombank).

“With the support of Ministry of industry and trade of RF Fiat Chrysler should be launched on “TagAZ” until July. It should be made before that date, because it works a resolution N166 of government, where scenario conditions are clearly written for Fiat Chrysler. They need to start the industrial assembly in Russia until 2017. If they will not do it this year, they are, respectively, do not have time”, - said Alexander Grebenshikov. He referred to a usable state of Taganrog site of “TagAZ”. Deputy Governor named one of the additional options to cope with the crisis for the Taganrog Automobile Plant the assembly of Chinese cars Chery.

At first it was reported in May of 2013 about the negotiations with Chrysler to launch SKD-assembly for its Jeep vehicles and plans to buy vehicle kits Chery in China to resume the work of “TagAZ”.

“TagAZ”, which was formed in February of 1997, produced passenger cars and commercial vehicles under the brands Hyundai, BYD and its own brands TagAZ, Vortex and Aquila. Facilities of enterprise permit to produce at the main assembly line up to 180,000 cars per year. According to Rostov statistics, “TagAZ” cut the car production by 89.6 % in 2013 and it did not produce trucks and buses.