Production of Engines and Automatic Transmissions for Volga to Be Launched in Nizhny Novgorod

In Nizhny Novgorod, serial production of 2.0-liter petrol engines and 8-speed automatic transmissions for Volga vehicles will be launched in 2028. The project is being implemented at the site of the former Volkswagen plant, where the brand's models are already being assembled today. The level of localization for engines and transmissions is expected to reach 80% upon completion of the project, marking a significant step toward technological independence. The engine is being developed on the basis of advanced international technologies and will be specifically adapted for Volga, with hybrid and gas-powered versions planned for the future

"As part of the localization of Volga vehicles, it is planned to establish production of a 2.0-liter petrol engine and an 8-speed automatic transmission at the Nizhny Novgorod engine plant. Their serial production will begin in 2028," the materials state.

The Nizhny Novgorod plant will organize a full production cycle, including assembly and testing of units, as well as the production of key components — cylinder heads and blocks, camshafts and crankshafts. At the same time, Russian supplier enterprises will launch production of electronic control units, piston groups, starters, alternators, turbochargers and valves.

The transmission will be a classic 8-speed hydraulic torque converter automatic. As part of its localization, production of gears, shafts, crankcases and other components will be organized, along with testing and assembly of finished units. The production of electronic transmission control units and other components will be entrusted to Russian suppliers.

The production facility will be equipped with high-tech machinery featuring 85% automation, an active quality control system, machine vision technologies, and unmanned transport systems for moving units and components between production lines. This approach will ensure high product quality and bring the plant up to modern international standards.

Today, Volga vehicles are already being produced in Nizhny Novgorod, with sales having launched on June 19, 2026. The brand's current model lineup includes the flagship K50 crossover, the mid-size K40 crossover, and the C50 business sedan. The launch of in-house engine and transmission production will be the next logical step in the brand's development and will strengthen Volga's position in the Russian market.