AvtoVAZ to partially reopen car assembly plants next week

Europe

AvtoVAZ will partially resume operations at its Togliatti and Izhevsk plants from March 16 despite a persistent shortage of components, Russia’s biggest automaker said.

AvtoVAZ says it has taken the decision because it wants to protect the incomes of its staff in Russia.

The automaker, which is controlled by Renault, stopped its Togliatti and Izhevsk plants for a couple of days this month as it grapples with a crisis in supplies of electronic components.

The partial resumption of production comes amid the “ongoing crisis in electronic components supplies and in order to prevent a significant decrease in the level of income of the company’s staff,” AvtoVAZ said in a statement.

The company would separately announce a work schedule for the period after March 18, it said.

Renault, which returned to profit in 2021 after two years of losses, is among Western companies most exposed in Russia, where it makes 8 percent of its core earnings, according to Citibank.

The French automaker suspended some operations at its own car assembly plant in Moscow following Russia’s invasion of Ukraine due to logistics bottlenecks that have caused component shortages.

Products You May Like

Articles You May Like

Cadillac’s new Vistiq electric SUV starts at under $80,000, but higher trims can get pricey
Bottas returns to Mercedes F1 team in 2025 as reserve driver
Lawson confirmed as Red Bull’s Pérez replacement
Honda 0 Series EV prototypes head to 2025 CES
Waymo to begin testing in Tokyo, its first international destination

Leave a Reply

Your email address will not be published. Required fields are marked *