Yuriy Gerasimov, First Deputy General Director of KAMAZ PTC – Executive Director, met with the staff of the truck assembly plant and told about measures taken to continue stable production under new conditions and the first results.
Gerasimov informed that alternative suppliers of required components for currently popular K3 KAMAZ trucks had been found, they were ready for the auto maker’s needs, and a road map for rehabilitation of production of the latest K5 generation vehicles was almost developed. Difficulties with foreign partners contributed to additional loads of KAMAZ’s own facilities, and its subsidiaries in other regions were also supplied with orders.
A program of quick return to assembly of K5 trucks at KAMAZ was formed in broad-brush terms. The development service is currently hammering out details of this process. Within a short period of work under sanctions, the management of KAMAZ defined a workload for plants of the process chain, and outlined prospects of subsidiaries.
Yuriy Gerasimov reminded that the K4 line, which had been anyway to be replaced with K5 vehicles according to a strategic plan, had been taken out of production earlier, yielding to circumstances. The focus now is on localization of the latest generation and its flagship model – the KAMAZ-54901 truck tractor.
“We have already fixed the date of K5 production rehabilitation, our program is to be approved by the general director,” explained the executive director of KAMAZ. “We acutely understand how to relatively soon restart assembly of KAMAZ-54901 trucks enjoying popularity on the inner market.”
The assembly of K5 vehicles continues in March, there is a plan for April, but it is not so big, as it is restricted with stores of components. The share of vehicles of the older generation K3 corresponds to a quarterly calculation. The order for March is completely formed, and, by the way, contracts of International Trade Company even exceeded the business plan. KAMAZ Trade and Finance Company focused on the domestic market sees a slight decrease in sales following a lower assembly rate: a task for the near future was set before the staff to assemble 180 vehicles per day.
Yuriy Gerasimov also noted that, while a load of the main conveyor was decreasing, orders for components of the company’s own make were multiplying. The plant of spare parts and components tripled the volume of production of its own gearboxes – KPP-154 will go to K3 KAMAZ trucks. The volume of forgings for these gearboxes will grow proportionally at the forge plant. “In December the plant of spare parts produced 1.4 thousand KPP-154 gearboxes, in February 1.2 thousand, but this month the order has grown to 2.7 thousand gearboxes of which 2.3 thousand will go to the conveyor,” clarified Gerasimov. “In April, the production plan will increase again, almost threefold.”
Suppliers have been determined for output of K3 vehicles compliant with Euro 5, and they have already mastered the range of products. KAMAZ’s subsidiaries are also supplied with orders. “The Russian market will shrink affected by European sanctions, but the whole of it will be ours,” stressed Yuriy Gerasimov.
Kirill Puzyrkov, Chairman of KAMAZ Trade Union Committee, another speaker at the meeting, noted that to maintain the staff was an issue of the same importance for the company. The speaker used as an example actions of foreign investors forced to pause business in Russia today: closing their salespoints, some well-known companies continue paying wages to their employees. “Their solutions mean that these companies intend to come back to our market. In order to relaunch quickly, they should maintain their workforce. KAMAZ has always been doing the same, and even at a lower rate of the main conveyor, the rate of wages will stay on the same level,” assured Puzyrkov.
“Obviously, a certain rotation of the personnel will be needed – with account of the fact, for instance, that assembly of K4 trucks is being phased down, and the share of K3 is growing, but we need all experts,” confirmed the union leaders’ words Yuriy Gerasimov.