22 October 2002: The joint venture GM-Lada car plant in Russia may well be producing two models under the GM brand next year.
The US carmaking giant will decide early next year if it will go ahead with another model besides to upcoming Chevy Niva SUV, the product of a $332 million investment.
The new Niva will also be exported to other European countries, possibly under the Opel brand.
The Lada name is not being used in any GM literature on the joint venture. Instead, the brand's actual company name of AvtaVAZ is the preferred option.
GM-AvtoVAZ is located in Togliatti on the Volga River in central Russia, and plans to produce 450 cars this year and 35,000 in 2003. The factory's installed capacity is 75,000 cars a year.
The proposed second model could be a variant of the Opel Astra, and a third model may be produced in future if the co-operation with AvtoVAZ is succesful. GM is also discussing with AvtoVAZ the possibility of building an engine factory in Togliatti.
AvtoVAZ has been making cars since 1970. The best-known in this part of the world have been the Riva saloon and estate, based on old Fiat models, and the Niva small SUV, which is still being sold. The new Chevy Niva is a completely new car.