Categories: Europe

Stellantis keeps Russia van plant running as rival Renault bows to pressure over Ukraine

Stellantis is continuous to construct vans at its manufacturing facility close to Moscow, whilst rival Renault has bowed to strain to exit its sizable operations in Russia.

Stellantis’s Kaluga manufacturing facility is working at a low degree, a spokeswoman mentioned Thursday, although the plant could must shut down due to logistical and provide issues. 

After weeks of mounting scrutiny culminating in a public chiding from President Volodymyr Zelensky of Ukraine, Renault mentioned on Wednesday that it’s suspending operations at its Moscow automobile plant and is contemplating the way forward for its Russian enterprise AvtoVAZ,  which owns Russia’s best-selling automobile model, Lada.

Renault’s choice lagged strikes by Volkswagen Group, BMW and Ford Motor to droop operations at native factories. 

With much less at stake than Renault in Russia, Stellantis CEO Carlos Tavares mentioned earlier this month that the maker of manufacturers together with Jeep, Peugeot, Opel and Fiat would halt exports and imports to and from Russia.

Tavares mentioned Stellantis may transfer some van manufacturing from the Kaluga plant, which it shares with Mitsubishi, to van factories in Hordain, France, and Luton, England.

Tavares has mentioned Russia accounts for 20 million to 30 million euros ($33 million) of revenue yearly, making any affect on the automaker’s general operations negligible. 

The Kaluga plant, about 150 km (93 miles) southwest of Moscow, builds about 11,000 business automobiles a 12 months.

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