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Nissan to exit Russian market and sell assets to Moscow

Source: Kommersant

Nissan is withdrawing from the Russian market and selling all of its assets in the country to the Russian government, Russia’s Industry and Trade Ministry reported Tuesday.

The assets, including a factory in St. Petersburg, will go to a state-owned Central Scientific Research Automobile and Automotive Engines Institute (NAMI). The deal gives Nissan six years to buy back the assets. Russia’s AvtoVAZ automobile manufacturing company will take over maintenance service for Nissan cars.

In May, the French car company Renault sold its Russian holdings to the Russian government through a similar procedure. According to Moscow Mayor Sergey Sobyanin, the factory previously owned by Renault will begin manufacturing cars under the Moskvich brand.

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