GM Unhappy With Renault's Stake In Russian Carmaker

Edward Niedermeyer
by Edward Niedermeyer
gm unhappy with renault s stake in russian carmaker

When Renault bought a 25 percent stake in Russia's AvtoVAZ late last month, we thought it was just another company chasing the big money in Russia's expanding car market. Having jointly manufactured cars with VAZ for years, GM clearly sees the French incursion in slightly more threatening terms. Speaking in Geneva (via CNN Money), GM Europe president Carl-Peter Forster says "it's too early to tell" exactly how the Renault play will affect the Chevy Niva joint factory in Tolyatti. But he's clearly worried. So worried in fact, that he became downright effusive while describing his company's desire to continue the Tolyatti venture. Calling the factory "a nice little diamond, a gem," Forster unwittingly raised serious concerns about his mental health and/or his local knowledge. Less than a week ago, the head of procurement for AvtoVAZ was found stabbed to death in his Tolyatti apartment. It's hard to decide which is funnier: Renault buying a stake in VAZ within days of the stabbing of one of its executives, or GM's concern that it won't be the only game in a town where gangs are waging a turf war to control the auto industry. As the Brits say, it's six of one, a half dozen of the other.

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  • Jaje Jaje on Mar 05, 2008

    GM has the experience in working with organized crime - as it's management is from the same mindset and they have to work with the uaw / caw (who we all know has had plenty of its leaders very well entrenched in such shenanigans).

  • Jurisb Jurisb on Mar 06, 2008

    yes, joint venture, right. Chevy niva is 100% russian engineered junk SUV , Gm bought stakes in it and decided that stupid people would buy this Niva bettere if theuy slapped Chevy badge on it. Screw you, retarded GM!