Gestamp Signs MoU for Third Plant in Russia

Gestamp Automocion, a Spanish supplier of metal components and structural systems for the automotive industry, has signed a memorandum of understanding with Russia’s Tatarstan, under which it will explore the possible installation of a plant in Alabuga Special Economic Zone with an investment from €30 million to €50 million.

Gestamp also has signed an agreement on tax breaks with the Government of Leningrad for Severstal Gestamp Vsevolozhsk (GSV) for the next seven years. The GSV, where the group invested €70 million, is the first of two Gestamp plants in Russia (the other is located in Kaluga), and expects revenues worth €45 million this year.

The company is said to be considering another plant in theTogliatti SEZ to provide AvtoVAZ with stemped parts and welded assemblies.