FRANKFURT Nov 27 Volkswagen said on
Sunday it had formed a joint venture with Algerian sales partner
SOVAC to assemble cars in the North African country, aiming for
production capacity of more than 100 vehicles per day from
Volkswagen will hold a minority stake in the joint venture,
SOVAC Production SPA, which will produce vehicles from the
Volkswagen, Volkswagen Commercial Vehicles, SEAT and Skoda
brands, the German carmaker said.
"The Volkswagen Group opted for participation in SOVAC
Production SPA as we have co-operated successfully with our
sales partner SOVAC for many years," Volkswagen executive Josef
Baumert said in a statement.
"For us, this is a logical step towards increasing vehicle
sales in Algeria in the long term."
SOVAC has been a sales partner for Volkswagen since 2001,
Volkswagen said, adding it delivered 30,000 new vehicles via
SOVAC in 2015.
(Reporting by Christoph Steitz; Editing by Mark Potter)