Nissan Motor Manufacturing Russia (NMGR)
Initially inaugrated in 2009 with start investment of 200 mln. USD and employing 750 workers on just a single shift, Nissan became the biggest Japanese brand in Russia in 2010. Since then, the Nissan Russian Plant has been on a remarkable journey of growth and transformation, despite some economic headwinds. The plant has produced over 205,000 units since 2009. In FY2014, Nissan earned a 6.3% share in the Russian market and together with Datsun, aims to reach 10% market share by the end of the next three years, with 90% of vehicles sold in Russia also built in Russia.
"We may be the youngest member of the Nissan Europe manufacturing family but we’re punching above our weight when it comes to production volumes. By doubling the production capacity at the St Petersburg plant to 100,000 vehicles and increasing the number of models built there from three to five, we’re on course for a successful year. Localization remains a critical component of our growth plan and the next five years will be transformational in building Nissan’s manufacturing footprint in Russia and of course across Europe."
- Dmitry Mikhailov, CEO, Nissan Manufacturing Russia
Year Russia Plant was Established
Start of Production at Russia Plant
Total Investment Made
Second Stage Investment to Boost Capacity
€ 167 million
Number of Cars Made Every Hour in 2014
13 cars per hour
Total Plant Volume Since 2009
205,045 units (at end of December 2014)
Number of Employees at Russia Plant
X-Trail, Teana, Murano, Pathfinder
Education and Training at Nissan Russia Plant
The Russia Plant has access to a local Nissan Training Centre in St. Petersburg which has 4 trainers stationed there who started in 2011
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Q: What is the purpose of Nissan Russia Plant?
A: Established in 2006 with the first car rolling off the production line in 2009, the Nissan Russia Plant (NMGR) is the youngest of Nissan’s manufacturing facilities in Europe. With additional investment of € 167 million to expand production facilities by launching new Plastic and Press Shops the plant has an exciting future ahead of it. Now an employer of about 2,000 people, the Nissan Russia Plant has produced 205,045 units since 2009. As the plant increases capacity, it will work collaboratively with Nissan Motor Manufacturing UK (NMUK) to transfer best-in-class production skills, especially as NMUK is often heralded as the jewel in the crown of Nissan’s manufacturing presence in Europe.
Q: Why did Nissan decide to open a manufacturing plant in Russia?
A: Globally, Russia is Nissan’s fifth biggest (2014 result) market and the company’s decision to open a new manufacturing plant in Russia was partly due to its strong sales growth over recent years in the country, where Nissan has seen an increase from 28,436 vehicles in 2004 to 162,010 by the end of FY2014. By 2016, Nissan is aiming to locally produce up to 90% of its overall sales in Russia creating jobs and boosting the wider economy and supplier base. In CY2014 NMGR produced 31,607 cars, approximately 20% of all Nissan sales in Russia.
Q: What cars are produced at Nissan Russia Plant?
A: Nissan’s Russia Plant produces a range of vehicles and had a production output of 31,607 vehicles at the end of CY2014. Models produced at the factory currently include the Nissan X-Trail, Nissan Teana, Nissan Murano and Nissan Pathfinder including Hybrid version, though we expect to add the Nissan Qashqai in the near future - increasing the number of models built in Russia from three to five.
Q: What other facilities does Nissan have in Russia?
A: There are two additional Nissan facilities in Russia. Nissan's European Technical Centre employs 60 people in Russia, 9 people based in Moscow and an additional 51 employees in St. Petersburg. Nissan Russia’s Sales and Marketing HQ is also based in Moscow and employees about 300 people.
Q: What’s the next big thing for the Russia Plant?
A: Despite the economic headwinds that the Russian economy has experienced over the past year, Russia remains a strategic market for Nissan. Not only is the award-winning Nissan X-Trail the first highest selling car after the locally built Almera compact sedan, but by 2016, 90 percent of the cars Nissan sells in Russia will be built in the country. The facility is also poised for growth. Following the start of production of the Nissan X-Trail SUV at its St. Petersburg factory towards the end of 2014, Nissan will add the Qashqai in 2015 as part of a 167 million Euro investment that has doubled the plant's annual capacity to 100,000 units.
Q: How many cars does Nissan Russia Plant export?
A: Russia is examining to develop as an export base currently challenged due to the high freight costs involved, but it will act as a strong base to support the Russian market and other neighboring countries.
Q: Who is responsible for overseeing NMGR?
A: Dmitry Mikhailov is the CEO of Nissan Manufacturing Russia (NMGR) and he reports to Colin Lawther, Senior Vice President of Manufacturing, Supply Chain Management, and Purchasing in Europe.
NISSAN MANUFACTURING RUSSIA (NMGR), 140, KOMENDANTSKIY PROSPECT, PARGOLOVO, ST. PETERSBURG, 194362, RUSSIA