In September ZAZ announced the start of production of vehicles for the local market in cooperation with Groupe Renault. An online presentation of the new model, which will be assembled at ZAZ – Renault Arkana crossover coupe – took place
Economika Pravda reports that the Zaporozhye Automobile Building Plant circumvents the ban on importing cars from Russia by assembling semi-assembled cars.
“French in this model is only the name, because Renault Arkana is manufactured at the Russian plant AvtoVAZ. And “the start of production” at ZAZ is actually a large-knot assembly to circumvent the ban on import of cars from Russia”, – the report says.
Large-knot assembly is when the manufacturing plant supplies separate units and large assemblies ready for folding in containers.
It is noted that large-knot assembly is often used when importing cars as a way to bypass high import duties or excise duties. Customs rates for parts are usually lower than those for finished vehicles.