The former GM plant near St. Petersburg emerged from 11 years of inactivity

This auto assembly plant has gone through several owners over the past decade. According to a TASS source in business circles in the region, the assembly of crossovers has begun at the former plant of the American concern General Motors (GM). The new owner and operator of the site from the beginning of 2024 is the Russian automobile holding AGR (AGR Automotive Group).

As the AGR company itself clarified, the workshops are currently carrying out large-knot assembly (CKD) of Jeland cars – these are the Jaecoo J6, J7 and J8 crossovers, which are part of the product portfolio of the Chinese automaker Chery Automobile. The production process is organized in one work shift.

“The start of production of Jeland brand cars is planned for the first half of 2026. Additional information about the brand philosophy, model range and timing of market entry will be provided later,” notes the AGR release.

The company emphasized that the new brand will be developed in cooperation with the Chinese company Defetoo, which already supplies vehicle kits for Tenet. The Jaecoo (Jeland) J7 compact crossover is positioned as a premium model. For the Russian market, the car is offered with a 1.6-liter gasoline turbo engine (186 hp) paired with all-wheel drive and a 7-speed robotic transmission with two clutches.

Jaecoo J7
Jaecoo

The key features of the Russian specification are increased noise insulation and suspension, adapted to the characteristics of Russian roads, as well as a pre-installed package of options for cold climates (heated seats, steering wheel, windows).

Jaecoo J8
Jaecoo

The Jaecoo J8 large crossover belongs to the business class SUV segment. In Russia, the car is presented with a two-liter engine with a capacity of 249 horsepower and all-wheel drive (as standard) and two electronic imitations of locks: interaxle and rear interwheel. In China, the car is offered with a hybrid powertrain combining a 1.5T petrol turbo engine (about 150 hp) and an electric motor. Another small crossover – Jaecoo J6 – has not yet been presented on the Russian market. It is expected that in Russian specification it will receive a 1.5 petrol turbo engine (about 150 hp).

Jaecoo J6
Jaecoo

It is assumed that assembly at the Shushary plant will be carried out from machine kits (CKD/SKD) with the prospect of increasing the share of localized components in accordance with the requirements of the industrial policy of the Russian Federation.

Today’s launch of the plant in Shushary ends a long period of uncertainty for one of the most modern automobile production facilities in Russia at the time. Construction of the GM plant was completed in 2008, the total investment of the American concern was estimated at approximately $300 million.

At the time of shutdown, the plant’s design capacity was up to 70 thousand cars per year; it produced Chevrolet Cruze and Opel Astra models. However, in 2015, against the background of the general crisis in the Russian car market and geopolitical complications, GM decided to cease production and mothball the plant.

The South Korean automaker Hyundai Motor tried to give the site a second life by purchasing the asset in 2020. The company announced a large-scale reconstruction and investment to establish production of the Hyundai Tucson and Kia Sportage crossovers.

Hyundai Tucson
Hyundai

These plans were not destined to be realized – in March 2022, after the start of a special military operation in Ukraine and the subsequent rupture of global supply chains, the enterprise stopped again due to the impossibility of ensuring a stable supply of components. In January 2024, the plant came under the control of the domestic holding company AGR, which opened the third stage in its history for the site.

AGR Holding has become a significant player in the Russian automotive market with extensive experience in organizing assembly processes. The company also owns automobile plants in Kaluga, including engine production and the former Volkswagen plant, as well as an assembly plant in the Kamenka industrial zone in St. Petersburg.

Signs of preparations for the restart of the ex-GM plant appeared at the end of 2025. In December, the AGR company posted an extensive list of vacancies for a company in Shushary on leading recruiting platforms. Among the required specialists were Chinese translators, mechanics, and conveyor operators of the car and equipment assembly shop. The level of proposed salaries, ranging from 95 to 170 thousand rubles, indicated the intention to attract qualified personnel.

Previously, according to TASS, informed sources assumed that full-fledged achievement of design capacity could take place only by the beginning of 2026. The actual start of production activities at the end of 2025 – beginning of 2026 indicates the hasty integration of the asset into the structure of the Russian holding.