MUNICH, March 3 (Reuters) – Volkswagen is stopping its business in Russia because of the conflict in Ukraine, the company said on Thursday.
Production at Volkswagen’s Kaluga and Nizhny Novgorod sites will be suspended until further notice, and vehicle exports to Russia will be stopped with immediate effect, the company said.
“With the extensive interruption of business activities in Russia, the group management board is drawing the consequences from the overall situation, which is characterised by strong uncertainty,” Volkswagen said.
Volkswagen VOWG_p.DE has temporarily suspended production at two plants in Poland due to supply chain disruptions caused by the war in Ukraine, the company said on Thursday.
Delivery bottlenecks have already hit some other assembly plants of the world’s No. 2 automaker, while Porsche’s luxury unit has suspended production at its Leipzig plant and rival BMW has also been affected.
“From March 10, the plants… in Poznan and Wrzesnia will temporarily suspend the production of models manufactured there,” the company said in a statement.
“The reason for the suspension of production is disruptions in the supply chain caused by the war in Ukraine.”
The company said that the shortages affecting the plants included electrical harnesses
Photo – EPA-EFE/FOCKE STRANGMANN
