Where in the world...another Bigloryblog 'for a pie' picture quiz for the anorak army!

Yahh....you didn't take long did you? Anyway word reaches Biglorryblog that today's the day that Volvo inaugurates its Russian production plant in Kaluga (preseumably twinned with Beluga?) which coincides with the introduction of new, higher Russian custom duties for imported trucks. Mmmm smart move!

Volvo previously set up a CKD-production plant some six years ago in Zelenograd outside Moscow with a capacity of 500 trucks a year, . However, according to the PR blub: "This plant is now under dimensioned [Aaaarghhh! PR Yuckspeak for 'too small' BLB] for the Russian truck demand which has increased significantly."

The new plant is situated in Kaluga 200 kilometres south west of Moscow. It will produce trucks for Russia and neighbouring markets within the CIS-region, where the new custom duty levels have been introduced----depending on the type of truck the custom duty is now between 5-25% Ouch! No wonder the Sdes want a 'local' plant..

The new factory has a capacity of 10,000 Volvo and 5,000 Renault trucks. Production will start with low volumes in order to adjust and fine tune the production process. Volumes will then gradually be increased according to market demand. The assembly line will be provided with cabs, drivelines and gearboxes from Volvo's Swedish component factories.  Being a keen market watacher BLB can tell you that between Jan-Nov '08 Volvo delivered 5,466 trucks to Russian customers, compared to 3,904 trucks for the same period in 2007. About 5,000 used Volvo trucks where imported during the same period.

Volvo says: "The Russian market is judged to have a long-term growth potential, but due to the global economic uncertainty the demand of trucks has recently slowed down. Today the actual population of Volvo trucks in Russia exceeds 50,000 units."