23 december 2010

Prime Minster Vladimir Putin visits GAZ Group during his working trip to Nizhny Novgorod

Participants:

At the plant, GAZ Group CEO Bo Inge Andersson showed Prime Minister Vladimir Putin the GAZelle assembly line and the future line of Mercedes-Benz Sprinter light commercial vehicles. The two spoke in German.

Andersson showed Vladimir Putin two braking systems, a small and a large one. GAZ Group plans to use the small system on new models because it reduces braking distance by three metres and is overall more modern. Putin also looked at new dashboards made of plastic and rubber.

"We have a very qualified team, they are very professional," Andersson told Putin. And he also added that output per worker had grown at GAZ Group over the last two years. The monthly output per worker in January 2009 was 33,000 roubles, and in December 2010 it was up to 209,000 roubles. Putin noted that in March of the past year the figure went down to 31,000 roubles – even less than at the beginning of 2009.

Then Vladimir Putin was shown steering components and heard an explanation about the recent financial difficulties involved in their production. In response, the prime minister stressed the importance of making components at home and promised to support the manufacturer.

Next, Vladimir Putin was shown completed minibuses that would be used to transport children. He sat down in one and took a look around inside.

Then the prime minister came up to a Mercedes Sprinter light commercial vehicle nearby. Dieter Zetsche, CEO of Daimler AG, was waiting for him there. He told Vladimir Putin that his company plans to make Mercedes Sprinters here and that GAZ Group has a good local market. The prime minister looked at the vehicle and the new chassis and engines that will be installed in the new generation of GAZelles.

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During his visit to the GAZ automobile plant, Prime Minister Vladimir Putin paused to speak with the workers.

Transcript of the conversation:

Vladimir Putin: How are you? How is your work coming?

Remark: We have been getting ready for your visit, and we were very much looking forward to seeing you. Do you like it here?

Vladimir Putin: Of course, I do. I like it even more than I did a year ago. I assume that you also like it better now.

Remark: We've done our best.

Vladimir Putin: I said so because the plant is about to reach its pre-crisis level of production, and that's great. I looked at your wages. For the time being, they aren't very high, but they have also risen by 35%.

Remark: We all want to work. All of us want to have a job.

Vladimir Putin: I understand.

Remark: Thank God, the crisis is over and we're ready to work.

Vladimir Putin: Last year we spent about eight or nine billion roubles from the federal budget on anti-crisis measures to support your plant – we used it towards the purchase of cars and harvesters for federal needs. We also transferred more money to the Defence Ministry and the Ministry of the Interior so that they could buy your products.

Now, owing to your young managers, including the foreign ones, your plant is developing fast – along with Mercedes, you will make high-quality, modern buses that are bound to be in great demand.

Remark: We hope so.

Vladimir Putin: We have agreed that they will begin localising production almost immediately. The plant will start manufacturing the components right here. I hope this will be a new step forward in the development of your plant.

Remark: Happy New Year to you!

Vladimir Putin: Happy New Year to you, too!

Remark: We wish you good health!

Vladimir Putin: Happy New Year to you!

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GAZ Group and Daimler AG sign a memorandum of understanding on launching the assembly of Mercedes-Benz Sprinters at the Gorky Automobile Plant (GAZ) in the presence of Prime Minister Vladimir Putin. 

Apart from the memorandum, a loan agreement was also signed between Vnesheconombank and KAMAZ.