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April 08, 2022 03:12 PM

Mitsubishi halts production at Russian plant it co-runs with Stellantis

Mitsubishi said it has stopped production at a Russian plant it co-owns with Stellantis due to the logistical difficulties.

Reuters
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    Mitsubishi Kaluga
    REUTERS

    A board with the logo of Mitsubishi Motors is seen behind barbed wires near the PCMA Rus plant outside Kaluga, south of Moscow.

    Mitsubishi Motors said it had stopped production in Kaluga, Russia, at a plant it owns with Stellantis until further notice, joining other major automakers that have halted operations in the country.

    "Due to the logistical difficulties, vehicle exports and parts supply to Russia have been suspended since March," Mitsubishi said in a statement on Friday.

    Related Article
    Stellantis may close Russia factory on parts squeeze
    Stellantis will move some van output from Russia to Western Europe

    The factory builds the Mitsubishi Pajero Sport and midsize commercial vans for the Stellantis brands Citroen, Opel/Vauxhall and Peugeot.

    Stellantis said in late March it would have to close the Kaluga plant because it was running out of parts. A Stellentis spokesperson declined to comment to Automotive News Europe on whether its share of production is continuing.

    Stellantis has said it is moving some of its Kaluga van production to plants in Hordain, France, and Luton, England, and freezing plans for more investments in Russia, while keeping van production in Kaluga just for the local market.

    New car sales in Russia fell 63 percent in March, contracting for a ninth straight month, as the industry encountered an acute shortage and soaring prices caused by a sharp ruble drop and disrupted logistics.

    Japan has joined the United States and other allies in slapping additional sanctions on Russia, including freezing assets of the country's leaders and three financial institutions, to punish Russia for what Moscow calls "a special military operation" in Ukraine that started on Feb. 24.

    Automotive News Europe contributed to this report

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