Production of engines at the AGR plant started in Kaluga

A plant for the production of automobile engines of AGR Holding and Defetoo has been launched in Kaluga. The company will become the base platform for providing engines for all car models produced at the partners' joint plants in Russia, the company's press service reported on April 23.

"The company has started serial assembly production of modern internal combustion engines. The launch of the assembly is the first stage in the development of the site and lays the foundation for further deepening localization. A large—scale modernization was carried out to restart the plant," AGR reported.

The company produces turbocharged engines of 1.6 liters (150 and 197 hp), 1.5 liters (147 hp) and 2.0 liters (197-249 hp). At the first stage, the production capacity is 150 thousand engines per year, while preparatory work is underway to expand capacity. As part of the development of the site, a phased increase in infrastructure is envisaged with a threefold increase in production space, which will increase production to 300 thousand engines per year.

The site with a total area of 32,000 square meters houses an engine assembly line, component preparation sites, logistics infrastructure, as well as testing and measuring laboratories. The assembly line has been upgraded: new technological operations have been introduced, the number of work posts has been expanded, and a cylinder head pre-assembly line has been created. It is stated that the current level of automation of assembly production exceeds the indicators that were provided at the enterprise earlier.

The production of the internal combustion engine was launched using a local component base, the assembly uses key engine elements and components from Russian suppliers, including pistons and spark plugs, the company said. The company has created about 500 jobs. The production is organized in two shifts with the possibility of further expansion of operating modes. In the second half of 2026, it is planned to start machining key engine components, including the cylinder block and cylinder head.

Cat's Eye: who is the new Russian crossover winking at

Test drive of the seven-seat Tenet T8 crossover

AGR's portfolio includes three new brands — Tenet, Jeland and Tenet Plus. Tenet cars have been produced in Kaluga since last year.

On April 22, the company announced that the first Jeland J6 crossovers had been shipped to the brand's official dealerships. The production of Jeland cars is organized at the automobile plant in Shushary (St. Petersburg) of the AGR holding, which brings the new brand to the market together with Defetoo.