Russia's AvtoVAZ recalls 45,000 Ladas over airbags

MOSCOW Thu Dec 27, 2012 1:41pm GMT

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MOSCOW (Reuters) - Russia's largest car maker AvtoVAZ (AVAZ.MM) said on Thursday it is recalling 45,348 Lada Grantas over potential airbag failures, its second recall of new models this year.

The cars affected by the recall account for almost 40 percent of all Grantas the company has produced since launching the model in December 2011.

AvtoVAZ said it would check and reprogramme the airbag control blocks, made by Takata Petri AG, the German unit of Japan's Takata (7312.T), in cars produced between end-May and end-September of 2012.

In April, the company recalled nearly 100,000 Kalina and Granta models due to defects in the fuel system, delivering a first major blow to its efforts to re-brand itself as a reliable modern car manufacturer.

Granta as well as Kalina are two of the new designs AvtoVAZ hopes will eventually replace the three-decade-old Lada Classic, a boxy model that went out of production this year.

Franco-Japanese alliance Renault-Nissan (RENA.PA) (7201.T) this month finalised a long-awaited deal to take control of AvtoVAZ via a 67.13 percent stake in a joint venture with state-owned holding group Russian Technologies.

(Reporting by Gleb Stolyarov; Writing by Maria Kiselyova; Editing by Douglas Busvine)