Russia bans car exports, Stellantis and Hyundai suspend operations

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Russia is taking revenge Western sanctions by imposing an export ban that includes more than 200 items and will be in effect until the end of the year.

A detailed list was not immediately available, but the state news agency TASS reported that the list included technical, telecommunications and medical equipment, as well as vehicles, agricultural machinery, locomotives and railroad cars. Other items include containers, turbines, metal and stone processing machines, monitors, projectors, consoles and panels.

BBC News reports that the export ban is imposed by about 48 countries that, according to the Russian government, have “committed unfriendly actions” against them. The government added that the ban “is aimed at ensuring the smooth functioning of key sectors of the economy.”

Read: Russia is threatening to nationalize the plants of foreign companies that are shutting down

It seems the move was already in place when Stellantis told Carscoops in a statement that it had stopped importing and exporting cars from Russia. The company operates a plant in Kaluga and earlier this year began exporting Citroën Jumpy, Peugeot Expert and Opel Vivaro to Western Europe. This is a blow for automakers like Reuters Earlier it was reported that Stellantis wanted to turn the Kaluga plant into an “export center for the supply of engines and cars to Europe, Latin America and North Africa.”

Hyundai, which together with Kia manages production facilities in Russia, has also decided to suspend operations in the country.

Also read: Automakers stop production in Russia after the invasion of Ukraine

“Hyundai Motor Company is deeply concerned about the situation in Ukraine,” the automaker said in a statement from Carscoops. “We can confirm that Hyundai Motor Manufacturing Russia (HMMR) has been suspended until further notice due to global logistics problems with component delivery. The safety of our employees and the care of our customers remains a top priority for Hyundai Motor. We sincerely hope that the situation will be resolved peacefully as soon as possible.

Most likely, we will learn more about the consequences of the ban in the coming days, but Russian officials have learned with the threat of nationalization of company assets who left the country. They also warn that returning to Russia will be difficult, but that has not stopped the outflow.

Russia bans car exports, Stellantis and Hyundai suspend operations

Source link Russia bans car exports, Stellantis and Hyundai suspend operations