Because of the sales slump that hit the Russian car market in recent months, some automakers are shutting down plants while others are considering exporting vehicles from their local assembly plants to curb losses.
Volkswagen is one of these companies, with the German carmaker saying it is considering exporting Russia-produced cars to other countries to offset the sharp drop in demand there.
“There are studies within the Volkswagen Group Rus as to whether to export cars from Kaluga,” a company spokesman was quoted as saying by Reuters. However, the official added that no decision had yet been taken.
To adapt to the current situation in Russia, VW has already reduced production in Kaluga, the plant where it builds models like the Polo sedan, Tiguan and Skoda Rapid. Despite that, it appears that VW still makes more cars in Kaluga than the Russian market can absorb.
Sales of VW-brand passenger cars fell by 44 percent in Russia in the first seven months of the year to 42,525 vehicles, more than the overall Russian car market which was down 35 percent to 913,181 units in the same period, according to data from the Moscow-based Association of European Business in Russia.
At the moment it is not clear where VW could sell the cars made in Kaluga, but Europe would be the most logical choice from a geographical point of view. Kaluga is located 180 kilometers south-west of Moscow.