GM pens deal with Russia's largest car producer for overseas Aveo production

General Motors has contracted with Gorky Automobile Plant (GAZ), "Russia's largest producer of commercial vehicles" of a certain size, for the production of next-generation Aveo sedans and hatchbacks for the Russian market.

According to GM, the GAZ Group "has 18 production plants in 10 regions of Russia...GAZ Group produces light commercial vehicles, heavy trucks, buses, cars, road construction equipment, power trains, and auto components."

"The cooperation with GM will strengthen quality and technology of every production capacity of GAZ," said Bo Andersson, president and CEO of GAZ Group. "The decision taken enables GAZ to effectively use the investments in the passenger car facility and to contribute the qualified workforce in the project with GM."

GM's statement said, "The new Aveo hatchback made its debut at the 2010 Paris Motor Show. It was followed by the new Aveo sedan, which was introduced at last month's 2011 North American International Auto Show in Detroit."

Production of both versions of the Aveo will begin in Russia in mid-2012.