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Belarus’ manufacturers would like to increase the supplies of vehicle components made by the Borisov-based plant to Russia

Head of Russia’s AvtoVaz impressed with what he saw at BATE Plant

By Veniamin Mikheev

Belarus’ manufacturers would like to increase the supplies of vehicle components made by the Borisov-based plant to Russia


In 2015, BATE JSC plans to double production volume

Belarus is keen to increase supplies of automobile components produced by the Borisov Plant of Autotractor Electrical Equipment to AvtoVaz, noted Belarus’ First Deputy Prime Minister of Belarus, Vladimir Semashko, as he met with a delegation from the Russian company, led by AvtoVaz Head, Bo Andersson.

Mr. Semashko noted that the purpose of the visit was clear — to promote their products on the Belarusian market. “We’re also interested in promoting our products on the Russian market. In particular, increasing supplies to AvtoVaz,” noted Mr. Semashko. He voiced his concern over BATE Holding’s withdrawal from AvtoVaz. Indeed, the Belarusian company delivered $5.5 million worth of products to AvtoVaz in 2012, while in 2013 the figure shrank to $350,000. This year, exports reduced even further.

“There are some pre-conditions for ramping up sales,” added Mr. Semashko.

Bo Andersson thanked the Belarusian side for the warm welcome. He shared his impressions of the meetings he attended during the visit, “Here, people are focused on their work and I like it”. He said that it is important to revive the Lada brand and to restore its positions on the global market. “It is painful for us to realise that we hold less than 6 percent of the market in Belarus. I have directed my team to increase market share up to 10 percent. It is very important from a strategic point of view,” Bo Andersson said. According to him, AvtoVaz was not active enough on the Belarusian market.

Mr. Andersson was impressed by what he saw at BATE. He believes co-operation has great prospects. “Starters and generators are competitive from a technical point of view. However, a lot still has to be done to improve the production process,” he said.

The AvtoVaz President expressed his readiness to send a team of the best specialists to BATE Plant so that they can advise on a system of lean production.
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