Moscow International Automobile Show 2006. VAZ-2101 (retro car).
Photo: Alexey Kudenko
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Opel to Move Kalina Aside
// AvtoVAZ and GM discuss their new joint project
AvtoVAZ and General Motors began talks about a joint project. If it is approved, Lada Kalina might get the same engine as Opel cars now have. AvtoVAZ says it will make Kalina at least $200 more expensive. The factory’s dealers think the rising of price is not significant for the car which does not sell well anyway.
AvtoVAZ factory is in talks with General Motors (GM) about a “joint engine project”. The project is to start in 2008, and might include supplying GM engines to AvtoVAZ as well as transferring the assembly of engines to Russia. The engine in question is a gasoline motor of 1.4 liters and 66 kWt capacity. GM installs it on Opel cars (namely Astra and Tigra). Apparently, the engines will be for Lada Kalina.
The final decision for the project will be made in spring. The talks between AvtoVAZ holding president Vladimir Artyakov and GM Europe head Karl Foster are scheduled for early March.
The project was offered by GM, and AvtoVAZ has not yet given its answer. The growth of Kalina’s price when it has Opel engine installed on it has not been estimated yet. The cost of the engines is ˆ1,300 which is only $200 higher that the engines produced by AvtoVAZ.
Experts say that Lada Kalina does not sell well anyway. Dealers add that if the car will get new engine, it will change for the better, and thus will have one significant improvement.
www.kommersant.ru
All the Article in Russian as of Feb. 22, 2007
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