FRANKFURT — Volkswagen Group said on Sunday it had formed a joint venture with Algerian sales partner SOVAC to assemble cars in the North African country, aiming for production capacity of more than 100 vehicles a day starting in spring 2017.
VW Group will hold a minority stake in the joint venture, SOVAC Production SPA, which will produce vehicles from the VW, Volkswagen Commercial Vehicles, Seat and Skoda brands in Relizane, the German carmaker said in a statement.
The models that will be produced are the VW Golf, Seat Ibiza and Skoda Octavia compacts and the VW Caddy car-derived van. All four are underpinned by VW Group’s MQB architecture.
“The Volkswagen Group opted for participation in SOVAC Production SPA as we have co-operated successfully with our sales partner SOVAC for many years,” VW executive Josef Baumert said. “For us, this is a logical step toward increasing vehicle sales in Algeria in the long term.”
Source: http://www.autonews.com/article/20161127/COPY01/311279995/vw-forms-jv-in-algeria-to-make-golf-other-models-starting-in-2017
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