By Joshua Manning • 26 August 2022 • 7:59
Mercedes planning to sell car assembly plant in Moscow region, Russia Credit: nitpicker/Shutterstock.com
Mercedes’ car assembly plant in Russia’s Moscow region is reportedly set to be bought out by a Russian buyer according to a Kommersant source.
The Russian news agency said that the Esipovo plant is now owned by the parent company Mercedes-Benz AG (who own 80 per cent of shares) and the joint venture Daimler Kamaz RUS (who own 20 per cent of shares).
According to Kommersant, the Avtodom dealer has also made a bid for the plant, and the Moscow Region Development Corporation is involved in the negotiations.
A source of the newspaper in one of the car dealers spoke about the tender, in which several dealers are taking part.
The newspaper’s source in the automobile retail sector also names Avtodom as a probable buyer, noting that it is a complex deal which also includes the rights of the brand’s distributor on the Russian market.
Avtodom declined to speak to the Russian news agency.
The Russian office of Mercedes-Benz informed Kommersant that the company is “considering various options for doing business in Russia”, but has not made any permanent decisions so far.
Mercedes representatives also said they would not comment on the future and strategic decisions.
The Moscow Region’s Ministry of Investment, Industry and Science confirmed that they are discussing the future of the plant together with Mercedes-Benz, but also refused to divulge any details.
The news follows reports of other huge companies such as H&M leaving Moscow, due to the ongoing war between Russia and Ukraine.
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Originally from the UK, Joshua is based on the Costa Blanca and is a web reporter for the Euro Weekly News covering international and Spanish national news. Got a news story you want to share? Then get in touch at [email protected]
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