Russian auto industry stalls: AvtoVAZ prepares to halt its largest plant
russian auto giant AvtoVAZ is secretly preparing to halt operations at its plant in tolyatti, the largest car factory in russia, due to a collapse in sales. According to russian media, employees have already been informed about a “vacation” scheduled for May.
AvtoVAZ has been unsuccessfully trying to contain the decline in key economic indicators for some time. In March, Lada sales plunged by 33%, and the company’s warehouses are overflowing with unsold vehicles. The management attributes the problems to rising loan costs and is vainly hoping for government support.
Other russian car manufacturers are facing similar difficulties. russia’s automotive industry continues to deteriorate under the weight of war and sanctions. However, the kremlin ignores these “distress signals” from businesses and keeps pouring resources into prolonging the war, dragging russia deeper into economic crisis.
