AvtoVAZ will liquidate the subsidiary of Volga machine building plant

SAMARA, December 7. /Corr. Alexey Sokolov/. AvtoVAZ will liquidate subsidiary of Volga machine building plant (VMZ).

Instead it will be created a new division, which will include only some employees of VSW, said the Chairman of the trade Union “AVTOVAZ” Sergei Zaitsev.

“Volga engineering plant is eliminated. On its basis a new division of “AVTOVAZ” – the production of technological equipment. A decree on the establishment of the new production has already been signed”, – said Zaitsev.

According to the head of the Union, the liquidation process is rather long and will take about one month. On the new production of “AVTOVAZ” will be translated not all the employees of machine-building plant, but only those who participate in technological equipment and repair – about 700 people. Those who work on the TVM in the field of machine tools, translated to “AVTOVAZ” will not. How many employees are now working in TVM, hares called was difficult. As of September 2015, the plant employed about 2.2 thousand people.

In November 2014 TVM became a 100% subsidiary of AVTOVAZ. He delivers the giant components for Assembly of cars, industrial tooling, dies and technological equipment.

“AvtoVAZ” announced in 2014 plans to upgrade TVM. According to the President automobile Bo Andersson, AVTOVAZ placed on the TVM at the end of last year, the contracts totaling about 1 billion rubles for the manufacture of tooling and tools for the production of their new models – LADA Vesta and LADA XRay. Here in 2014 was the $ 200 million to the tooling from the Corporation Nissan.

As noted earlier, the President “Autovase”, TVM in the future could compete with Turkish, Chinese and Korean suppliers of Alliance “Renault-Nissan” – in terms of supplying moulds, tools and dies. According to Andersson, TVM has a huge advantage in terms of execution of orders – delivery of orders from China, Korea and Turkey about one month, the Volzhsky factory is located in Tolyatti with AVTOVAZ.

In September 2015, TVM announced the upcoming reduction in the plant 1 thousand 195 people. According to official notification, layoffs could begin in three months in December. The reason for the reductions was the loss of one of the areas of activity – machine tools. “Unfortunately, now there is not enough orders so that the plant has not suffered losses. TVM has two main areas – machine tools and tooling, molds and dies. The second direction will continue,” – said in September, the head of the trade Union “AVTOVAZ” Sergei Zaitsev.