According to foreign media reports, BMW said it has stopped exporting cars to Russia and will stop production in Russia. Jaguar Land Rover and Aston Martin also announced suspension of car exports to Russia.
On March 1, BMW said in a statement, "In view of the current situation in Russia and Ukraine, we will stop production in Russia and stop exporting to the Russian market." Last year, BMW in the Russian enclave of Kaliningrad ( About 12,000 cars are assembled at the Kaliningrad plant, which BMW has operated in partnership with local carmaker Avtotor for more than 20 years. Last year, sales of the BMW brand in Russia rose 10 percent year-on-year to 46,802 vehicles, according to the AEB industry association.
BMW also said it expected production at its plants in Germany and other European countries to be disrupted due to supply bottlenecks. The time, location and duration of the shutdown are still being evaluated. It is reported that BMW's largest plant in Europe, Dingolfing, Germany, may stop production next week.
(Image source: BMW)
BMW sources wiring harnesses from western Ukraine. German cable maker Leoni has two factories in Ukraine and employs about 7,000 workers. Leoni said the company was offsetting supply disruptions in Ukraine by ramping up production at factories in other regions, but prioritizing the safety of its employees.
"Logistics in and out of Ukraine is a big challenge, especially because of the chaos on Ukraine's border with the EU," a Leoni spokesman said in a statement.
German auto companies and suppliers have about 49 production sites in Russia and Ukraine, according to the VDA, the German auto lobby group.
On March 1, Jaguar Land Rover said, "The current global environment also presents us with trade challenges, so we will suspend vehicle deliveries to the Russian market and monitor the situation closely on behalf of our global customers." The automotive industry association AEB Last year, Jaguar Land Rover's sales in Russia fell 6 percent to 6,909 vehicles, according to the data.
(Image credit: Aston Martin)
Aston Martin said it would suspend sales and deliveries of cars to Russia due to the UK's sanctions on Russia. "As a global brand that exports cars to Ukraine and Russia, Aston Martin is closely monitoring the current situation in Ukraine."
In a statement, Aston Martin added, "Our primary concern is the safety and health of our partners in Kyiv, customers and their families. We remain in close contact with our local dealers during this difficult time. Russia and Ukraine account for less than 1% of its global sales, Aston Martin said.
It is reported that shipping giants such as MSC and Maersk have also suspended container shipping to and from Russia.
This article is reproduced from Gasgoo
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