The Price of Survival: Why the "Moskvich M90" Will Have to Be Expensive

The "Moskvich M90" crossover gives the Moscow car plant a chance for sustainable development. Automotive industry expert Andrei Trubin notes that the brand will not be able to compete with mass-market budget models and should focus on a more profitable segment.

After its revival in 2022, Moskvich launched production on the basis of the former Renault Russia plant. Despite this, the enterprise's capacity is limited: with a 2025 target of 40,000 cars per year, MAZ Moskvich's output remains significantly below the scale of AvtoVAZ. The high cost of production in the capital makes cheap cars economically unprofitable.

The new "M" lineup is based on the technologies of the Chinese concern SAIC, whose cars have already proven their high quality in global markets. The "M70" and "M90" crossovers feature a spacious interior, modern suspension, a 2-liter turbo engine, and a nine-speed automatic transmission. The flagship "M90" offers a seven-seat interior and all-wheel drive. Such characteristics allow the vehicles to compete with European brands and provide sufficient profitability for the plant.

In the expert's opinion, the low sales of budget Moskvich models show that the enterprise will not be able to break even by targeting the mass segment. High prices are not a luxury, but a necessity for the survival of the Moscow brand.

MAZ Moskvich is also attracting third-party projects. Thus, the plant will assemble Atom electric vehicles from AO Kama and Yandex electric cars based on the Chinese GAC platform. This will allow the plant to utilize its capacity and receive additional income.

Moskvich's strategy is clear: expensive and high-quality models in a new segment ensure the plant's sustainable development, create a foundation for further investment, and restore the brand's reputation as a competitive manufacturer.