Russia’s Central Automobile and Engine Research and Development Institute (NAMI) announced Wednesday it has acquired a 100 percent stake in a factory formerly owned by the German automotive parts supplier, Robert Bosch. The factory, known for producing sophisticated systems such as anti-lock brakes, was an integral part of Bosch’s operations.
NAMI’s latest acquisition forms part of a wider trend following Russia’s invasion of Ukraine, which led many major global automakers to withdraw from Russia. Capitalizing on this, NAMI has been purchasing assets from these companies, stepping into the void they’ve left behind.
In line with this trend, NAMI had previously secured control of plants that were under the operation of Renault, Nissan, and Toyota. The exact monetary details surrounding the Bosch deal remain undisclosed, but past acquisitions by NAMI have been noted for their nominal fees.
The Bosch plant, located in the Samara region, employed 107 workers at the time of the transaction. NAMI assured that these staff members would maintain their employment, and in cooperation with Russia’s industry and trade ministry, efforts are underway to resume production by 2024.
Before NAMI’s acquisition, the factory specialized in the production of steering systems, anti-lock braking systems, and electronic stability program systems.
Bosch, a heavyweight in the automotive industry, posted global sales to automakers of an impressive $49.14 billion in 2021. Despite this success, their recent withdrawal from Russia marks yet another ripple in the global automotive sector, instigated by ongoing geopolitical tensions.
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