AvtoVaz and POSCO negotiate supply deal

The Russian car maker AvtoVaz has held negotiations with the South Korean steelmaker POSCO regarding the supply of CR sheets to be used in the manufacture of its Lada cars in 2007. Since 2004 POSCO supplies its production to the largest Russian car producer, which has around a 70 percent share in the local market. The further development of the partnership between the two companies will allow AvtoVaz to use the newest grades of steel in its car production. It will also allow the Russian manufacturer to cut its expenses on the purchase of automobile sheets.