Severstal Signs Annual Steel Supply Agreement with AVTOVAZ
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Severstal Signs Annual Steel Supply Agreement with AVTOVAZ

Russian steel giant PJSC Severstal has signed an agreement with Russia’s largest car manufacturer Renault Group JSC AVTOVAZ for supply of steel

Russian steel giant PJSC Severstal has signed an agreement with Russia’s largest car manufacturer Renault Group JSC AVTOVAZ for supply of steel products in 2021. Under the terms of the agreement, Severstal will supply cold rolled, galvanized and hot rolled pickled steel products to AVTOVAZ. The conclusion of another long-term agreement indicates the continued strengthening of relations between Severstal and AVTOVAZ. Severstal has created additional opportunities for expanding cooperation are provided by the construction of a new continuous pickling unit No 4 at Cherepovets Metallurgical Plant allows not only wider range of products, but improved quality.

Opportunity for maintaining and further developing cooperation was provided by the results of the Renault-Nissan-Mitsubishi Alliance Supplier Quality Management System Assessment Standard assessment. This audit, which included an assessment of the production chain at the Cherepovets Metallurgical Plant and the quality management system, was completed by Severstal last year. According to its results, the metallurgical company received a B rank, which allows it to be a recommended supplier from the quality service for participation in new projects of the Alliance plants. Thus, the successful completion of the audit confirming Severstal's compliance with the strict requirements of the Alliance allowed Severstal to consider new partnership opportunities and increase the share of supplies for the client.

Cherepovets rolled metal products are already supplied for most of the models that are assembled at the Alliance car factories in the Russian Federation. Severstal's rolled metal products are used in the manufacture of such critical elements of the car body as doors, hood, trunk lid, fenders, sidewalls, load-bearing elements and stamped wheel disks.

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