Memorandum of Understanding (MOU) signed with the City of St. Petersburg
MAN will soon be building trucks in Russia for the Russian market and other CIS countries. On April 14, 2011, the CEO of MAN Truck & Bus AG, Dr. Georg Pachta-Reyhofen, and the Governor of the City of St. Petersburg, Valentina Matviyenko, signed a Memorandum of Understanding (MOU) to this end. It covers a planned investment of some €25 million by MAN Truck & Bus in an MAN-owned production facility and the founding of an MAN-owned production company in St. Petersburg. In the medium term a production capacity of some 6,000 vehicles per year is planned at the site in St. Petersburg. The document was signed during the visit of the Bavarian State Premier Horst Seehofer to St. Petersburg.
“Russia has very high growth potential and plays a central role in our internationalization strategy. As a local manufacturer with the necessary proximity to the market and to customers we will be in the optimum position for taking a share of the rising demand for Western European commercial vehicles in the long term,” said Dr. Pachta-Reyhofen after signing the MOU. “It is above all the advantageous infrastructure conditions and developing automotive cluster that speak in favor of St. Petersburg,” added Lars Himmer, Managing Director of MAN Truck & Bus in Russia. “We will build our production line on existing premises — that will save us long construction and start-up times,” he continued. In the MOU the City of St. Petersburg declares that it will ensure the supply of the necessary power, water and gas to the plant and support the improvement and maintenance of the access roads to the new MAN plant.
Even by as early as 2012 about one-quarter of the trucks sold in Russia will have been produced locally. MAN will also increase the local content and to this end develop local suppliers.
In the past MAN has taken an above-average share of growth in the Russian market. With a market share in 2010 of more than 30 percent for new European trucks over six tons and more than 50 percent for imported intercity buses and coaches longer than 12 meters, MAN has expanded its significant fleet to more than 45,000 registered vehicles in Russia and is market leader for imported trucks and buses.