The two largest automotive groups in the world, Toyota and Volkswagen, announced on Thursday the suspension of their production in Russia. because of the repercussions of the war in Ukraine.
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Japanese giant Toyota said it will stop its production in Russia “until further notice” from Friday and also its imports for that market, it said, citing “supply chain disruptions” related to the conflict between Russia and Ukraine.
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(Due to the public interest in the events between Russia and Ukraine, all of our coverage of that invasion and related actions will be freely accessible to all readers of TIME.)
Our priority in managing this crisis is to ensure the safety of our team members, our sales staff and our supply chain partners.
The plant that Toyota has in St. Petersburg It employs around 2,600 people and last year produced some 80,000 vehicles, almost all for the Russian market, which represents a fraction of the 10.5 million cars made internationally by the Japanese group.
Toyota has no factories in Ukraine, but indicated that sales operations have been suspended since February 24, when Russian President Vladimir Putin launched the invasion against the neighboring country.
“Toyota follows the ongoing events in Ukraine with great concern for the safety of the people in Ukraine and looks forward to a safe return to peace as soon as possible,” the group said in a statement.
For its part, Volkswagen “will interrupt exports to Russia with immediate effect”, which in 2020 represented 2.4% of its sales (220,000 units sold), indicated a spokesman. Deliveries to dealers had already been suspended.
The German group will also close “until further notice” its two plants in Kaluga and Nijni Novgorod, where some 4,000 people work, who will be paid through a temporary unemployment scheme.
Volkswagen had already temporarily halted production at several plants in Germany, affected by a lack of supply from Ukrainian suppliers.
Its compatriots BMW and Mercedes-Benz also announced this week that they were halting their exports and local production.
The world’s largest truck manufacturer, Daimler Truck, has ended its collaboration with the Russian manufacturer Kamaz, which is also a supplier to the Russian army. Other Japanese car manufacturers like Suzuki, Honda and Mazda they also suspended or reduced their activities in the country, where their presence is limited.
The US giants breaking ties with Moscow
Apple, ExxonMobil and Boeing announced Tuesday in a quick succession that they are withdrawing or freezing their businesses in Russia.as more American corporate giants take action following the invasion of Ukraine.
The moves, which have already taken place in several industries and precede others such as Disney, Ford, Mastercard and others, highlight the growing economic cost to Russia of invading Ukraine, a move that triggered massive sanctions on Western governments.
ExxonMobil will begin a phased withdrawal from the giant oil field that has operated since 1995 as part of the Sakhalin-1 project, saying it “deplores Russia’s military action that violates Ukraine’s territorial integrity and endangers its people.”
The US company operates in Russia on behalf of a consortium that includes Russian, Indian and Japanese companies. It is the only major project left there after pulling out of two joint ventures in the round of sanctions against Russia that came with its annexation of Crimea in 2014.
ExxonMobil’s move followed earlier decisions by British energy group BP and Shell to withdraw from joint projects in Russia. The French TotalEnergies informed that it would stay in Russia, but that it would refrain from investing in that country.
ExxonMobil stressed that “the process to decommission operations will need to be carefully managed and closely coordinated with partners to ensure it is executed safely.”
We are deeply concerned about the Russian invasion of Ukraine and we stand with all those who are suffering as a result of the violence.
Earlier on Tuesday, Apple announced that it would stop all sales of its products in Russia and would limit the use of the Apple Pay payment solution and other services in the country.
Ukraine’s warring government, urging its citizens to battle Russian forces, has appealed to all quarters for help, including Apple boss Tim Cook.
“I appeal to you… to stop supplying Apple products and services to the Russian Federation, including blocking access to the Apple Store!” Ukrainian Minister of Digital Affairs Mykhailo Fedorov wrote in a letter posted on Twitter on Friday.
For its part, US aviation giant Boeing announced on Tuesday that it had suspended its support services to Russian airlines and its operations in Moscow, a move that preceded US President Joe Biden’s announcement to ban the use of US airspace. to Russian planes.
Disney and WarnerMedia suspended releases of new films in Russia, while tech heavyweights like Facebook, TikTok and Microsoft moved to curb the reach of Russian state-affiliated media accused of misinforming about Russia’s invasion of Ukraine. Moscow.
We still consider foreign companies as potential partners.
General Motors has suspended vehicle exports to Russia, while Detroit rival Ford said it was suspending its remaining operations in Russia, including making commercial trucks.
credit card companies Visa, Mastercard and American Express announced that they were blocking Russian banks from their payment networks after international sanctions.
On Tuesday, Moscow announced plans for a presidential decree aimed at preventing foreign investment from leaving the country. “In the current sanctions situation, foreign investors will not be guided by economic factors, but by political pressure,” Russian Prime Minister Mikhail Mishustin said.
“To allow companies to make informed decisions, a draft presidential decree has been prepared to introduce temporary restrictions on the outflow of Russian assets,” he added:
INTERNATIONAL WRITING *With information from AFP
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