French automotive supplier Novares has opened its first production site in Togliatti, Russia, a city that is also home to Lada manufacturer AvtoVAZ.
Spanning 1,860 square meters, the site is located in the industrial park of AvtoVAZ, which is part of the Renault-Nissan Alliance.
The factory will begin producing engine parts in May 2020, and with an expansion planned for later that year, the parts manufacturer expects to start making and assembling roof bars in 2021.
The Togliatti plant is the latest in a series of new production plants built as part of Novares’ growth strategy. Over the past seven years, the company has opened 13 new manufacturing sites and expanded 23 existing factories.
The site is expected to employ 130 people at full capacity and achieve a 13 million euros ($14.5 million) turnover by 2025.
The Russian unit, along with Novares factories in Mioveni in Romania and Kenitra in Morocco, has been specifically conceived to supply to the Renault-Nissan Alliance as the automotive giant increases its production around the world.
“Opening this factory in Russia is part of our long-standing growth strategy, which includes being close to our customers wherever they are in the world,” said Pierre Boulet, CEO of Novares.
Describing it as the company’s “first step into the Russian market," Boulet said the site will enable Novares to better evaluate and develop its offering in the country as a whole.
Novares develops products in seven key areas for automakers and suppliers: engine components, bezels and clusters, air vents and decorative trims, interior and car body trims, handles, exterior paint and surfaces, and electric powertrain components.
The Clamart, France-based company co-develops and provides engineering and manufacturing expertise to OEMs and tier 1 companies in the automotive market. The company expects to record sales of 1.4 billion euros ($1.6 billion) in 2019.
The French group is present in 23 countries, and operates 45 manufacturing plants, eight “skill centers," nine technical centers and 24 customer service centers globally.