Russia’s leading automaker Avtovaz said on Monday that it had appointed former transport minister Maxim Sokolov as its new president and CEO following the withdrawal of its main shareholder Renault.
Renault struck a deal to sell its majority stake in the automaker to a Russian science institute, reportedly for the symbolic sum of just one rouble, with a six-year option to purchase it back.
Sokolov served as Russia’s transport minister from 2012-2018.
He is replacing Nicolas Maure, who started his tenure in May 2021.
The board’s decision to appoint Sokolov as CEO and president came into effect on Monday.
“The most significant goal for us is the rapid development of the supplier base, first of all, domestic suppliers,” Sokolov said.
Sales of Avtovaz’s Lada cars declined in April by 78% and the automaker has paused production until May 27 over the lack of parts and weak demand.
Over 400 companies have withdrawn from Russia after the Russia-Ukraine conflict testified on February 24, as such, many Western countries have imposed sanctions on Russia.
