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AVTOVAZ under fire: Suppliers are finishing off the Russian automaker

  • January 25, 2023
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Recently, several auto experts went extinct, in the spring and summer of last year, who predicted the complete demise of the Russian auto industry and AVTOVAZ. The automotive

Recently, several auto experts went extinct, in the spring and summer of last year, who predicted the complete demise of the Russian auto industry and AVTOVAZ. The automotive community has calmed down and is waiting for production scale to recover. Meanwhile, the AvtoVzglyad portal found out that it is extremely difficult for an enterprise to get out of the current economic situation, and this story can have sad consequences for the entire Russian auto industry.

Recently, bad “bubbles” for the domestic auto industry have come from unofficial sources. Of the latter – information posted in one of the Togliatti publications about problems with the delivery of auto-mail to AVTOVAZ. Reportedly, LADA Granta has been produced only in black since the end of last year, and at the moment Niva Travel can only be painted in the only “military” color – dark green Nessie-2 enamel. If the supply of this paint goes badly, the cars of the Togliatti conveyors will not leave at all. Who needs a new, but unpainted “car”? Yes, and then how to register it with the traffic police …

By the way, it is curious how AVTOVAZ is doing with the cataphoresis treatment of bodies? If there is also a shortage and “everything is complicated”, then soon we can all be congratulated on the appearance on the market of Zhiguli rusting at lightning speed. No wonder: the supply of paint for the domestic automotive industry was carried out by companies of Western chemical concerns, working with imported raw materials. And since we and “them” were now having a big fight, there were problems with paint. AVTOVAZ itself refuses to give specific explanations about the “colorful” problems.

– We work with suppliers, there is an agreed schedule, the situation is under control. Dealers have enough cars of different colors – this is all that the factory representative could tell us.

But it’s not just about the colors. Recently it turned out that in all respects the great suppliers of all kinds of “rubber bands” to AvtoVAZ from the city of Balakovo are now using their virtual monopoly position in the market. And not only AVTOVAZ, but also KamAZ are “twisted” to their heart’s content, setting outrageous prices for their products. Because they know that the Russian auto industry now has practically no other real sources of all kinds of rubber “crap”. It is a sin not to take advantage of the situation and not “cut the dough” without effort! Logic suggests that “business in Balakovo” with AVTOVAZ is now very many of its partners.

And largely due to the expensive components, the initially low-budget LADA Granta is now at brand car dealerships for a price of a million rubles or even more. And there are not many buyers for it. According to unofficial data, even “omnivorous” taxi drivers do not prefer her, preferring, albeit expensive, but more or less modern “Chinese”. Paradoxically, the Russian auto industry, artificially inflating prices, confidently cuts off the branch on which it sits. And the government, represented by the Ministry of Industry and Commerce, the Ministry of Economic Development and other “interested departments”, is only complacently watching what happens. Limiting ourselves to writing fantasy concepts for the development of the domestic automotive industry …

photo AVTOVAZ

Recently, bad “bubbles” for the domestic auto industry have come from unofficial sources. Of the latter – information posted in one of the Togliatti publications about problems with the delivery of auto-mail to AVTOVAZ. Reportedly, LADA Granta has been produced only in black since the end of last year, and at the moment Niva Travel can only be painted in the only “military” color – dark green Nessie-2 enamel. If the supply of this paint goes badly, the cars of the Togliatti conveyors will not leave at all. Who needs a new, but unpainted “car”? Yes, and then how to register it with the traffic police …

By the way, it is curious how AVTOVAZ is doing with the cataphoresis treatment of bodies? If there is also a shortage and “everything is complicated”, then soon we can all be congratulated on the appearance on the market of Zhiguli rusting at lightning speed. No wonder: the supply of paint for the domestic automotive industry was carried out by companies of Western chemical concerns, working with imported raw materials. And since we and “them” were now having a big fight, there were problems with paint. AVTOVAZ itself refuses to give specific explanations about the “colorful” problems.

– We work with suppliers, there is an agreed schedule, the situation is under control. Dealers have enough cars of different colors – this is all that the factory representative could tell us.

But it’s not just about the colors. Recently it turned out that in all respects the great suppliers of all kinds of “rubber bands” to AvtoVAZ from the city of Balakovo are now using their virtual monopoly position in the market. And not only AVTOVAZ, but also KamAZ are “twisted” to their heart’s content, setting outrageous prices for their products. Because they know that the Russian auto industry now has practically no other real sources of all kinds of rubber “crap”. It is a sin not to take advantage of the situation and not “cut the dough” without effort! Logic suggests that “business in Balakovo” with AVTOVAZ is now very many of its partners.

And largely due to the expensive components, the initially low-budget LADA Granta is now at brand car dealerships for a price of a million rubles or even more. And there are not many buyers for it. According to unofficial data, even “omnivorous” taxi drivers do not favor her, preferring, albeit expensive, but more or less modern “Chinese”. Paradoxically, the Russian auto industry, artificially inflating prices, confidently cuts off the branch on which it sits. And the government, represented by the Ministry of Industry and Commerce, the Ministry of Economic Development and other “interested departments”, is only complacently watching what happens. Limiting ourselves to writing fantasy concepts for the development of the domestic automotive industry …

Source: Avto Vzglyad

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