This paper analyzes how important cross-national production networks will be in the integration of the economies of the Former Soviet Union.

Automobile manufacturers were among the first firms to enter Eastern and Central Europe following the end of the cold war.  Now the production networks are distributed across Eastern and Western Europe and the former soviet economies are integrating at different speeds.

Automanufacturers were among the first firms to enter the Former Soviet Union.  With them came increased trade within Europe and also an internationalization of production networks for automobiles in Europe.  This paper analyzes the importance of these cross-national production networks.