Top carmakers suspend operations at Russian plants

04 Mar, 2022

FRANKFURT: Toyota and Volkswagen, the world’s two biggest auto manufacturers, said Thursday they would suspend operations at their production facilities in Russia, following the invasion of Ukraine.

Toyota said it would halt work at its only factory in Russia and stop shipping vehicles to the country, citing “supply chain disruptions” linked to Moscow’s assault on Ukraine and Western sanctions.

The world’s top-selling carmaker said its plant in Saint Petersburg produced around 80,000 vehicles last year, mainly for the Russian market — representing just a fraction of the 10.5 million vehicles made worldwide by the Japanese group.

Toyota’s Saint Petersburg plant employs around 2,600 people, a spokeswoman told AFP, confirming the supply disruption was linked to the conflict.

Toyota has no factories in Ukraine but said sales operations in the country had been suspended since February 24, when Moscow launched its assault.

German group Volkswagen also said in a statement it was suspending production at its two plants in Russia “until further notice”, as a result of the invasion.

Volkswagen, which had already announced a stop to deliveries to Russia, employs around 4,000 people between its two plants in Kaluga and Nizhny Novgorod.

Fellow German car manufacturers Mercedes-Benz and BMW have also idled production in Russia, as well as halting vehicle exports to the country.

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