Volkswagen AG expects to get approval from its supervisory board this week to build a factory in Russia.
Chairman Bernd Pischetsrieder says the "full-sized factory" will have a capacity of 250,000 to 300,000 vehicles within five years. The plant will build cars for Russia and for export, Pischetsrieder said at a Detroit auto show event.
If approved by the supervisory board, the plant would begin production this year.
According to reports, the factory initially will produce the Skoda Octavia and a European version of the four-door Go, which now is sold in Argentina, China and eastern Europe.