Skip to main content
Sister Publication Links
  • Automotive News
  • Automobilwoche
  • Automotive News Canada
  • Automotive News China
Subscribe
  • Subscribe
  • Newsletters
  • Login
  • HOME
    • Latest news
    • Automakers
    • Suppliers
    • New Product
    • Environment/Emissions
    • Sales By Market
    • On The Move
    • Auto Shows
    • Munich Auto Show
    • Geneva Auto Show
    • Paris Auto Show
    • Beijing Auto Show
    • Shanghai Auto Show
  • Features
    • Long Read
    • Interview of the Month
    • Focus on Electrification
    • Focus on Technology
    • Segment Analysis
    • Cars & Concepts
    • Supplier Spotlight
    • Europe By The Numbers
  • Opinion
    • Blogs
    • Commentary
    • Guest columnists
  • Photos
    • Photo Galleries
    • Geneva Photo Gallery
    • Beijing Photo Gallery
    • Frankfurt Photo Gallery
    • Paris Photo Gallery
    • Shanghai Photo Gallery
  • Podcasts
  • Car Cutaways
  • EVENTS
    • ANE Congress
    • ANE Rising Stars
    • ANE Eurostars
    • Meet the 2021 winners
    • Browse photos from the 2021 awards ceremony
  • More
    • Publishing Partners
    • Social Media
    • Contact Us
    • Media Kit
    • About Us
    • Capgemini: Securing the industry's future through a radical rethink
    • Capgemini: Succeeding with the automated driving journey through AI
    • HEXAGON: Plugging into data is the only way to make winning EVs
    • TUV Rheinland: Battery testing center for large battery packs and more
    • TUV Rheinland: Ideas, services and certifications for smart mobility
    • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
    • Toyota Europe
    • UFI Filters
    • Facebook
    • Instagram
    • LinkedIn
    • Twitter
MENU
Breadcrumb
  1. Home
  2. Ukraine crisis
March 11, 2022 07:17 AM

Stellantis will move some van output from Russia to Western Europe

Stellantis will freeze plans for more investments in Russia after the invasion of Ukraine, CEO Carlos Tavares said.

Reuters
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print
    Peugeot van dealership Magnitogorsk, Russia

    A Peugeot van dealership Magnitogorsk, Russia.

    Stay Up To Date

    Click here for a roundup of how Russia’s invasion of Ukraine is impacting the auto industry.

    PARIS – Stellantis will move some of its van production in Russia to Western Europe and freeze plans for more investments in the country as a consequence of the invasion of Ukraine, CEO Carlos Tavares said.

    "New investments in Russia are not on the table," Tavares told reporters on Friday.

    The automaker on Thursday suspended all exports and imports of vehicles with Russia, where it operates a vehicle plant in Kaluga plant in partnership with Mitsubishi.

    The decision reverses a previous plan, announced in January, to use Russia as an export hub to meet strong van demand in Western Europe. Stellantis said then that it would export Peugeot, Opel and Citroen vans from Kaluga after van sales soared as home delivery services boomed during the coronavirus pandemic.

    DAILY NEWSLETTER: Sign up and get the top news of the day in Europe every business weekday.

    The Kaluga plant also builds the Outlander and Pajero models for Mitsubishi.

    Tavares said Stellantis plants in Hordain, France, and Luton, England, could easily absorb the low volumes that were produced in Kaluga for export.

    The Kaluga factory has an annual capacity of 125,000 and began building vans in 2017 for the former PSA Group, which merged with Fiat Chrysler Automobiles last year to form Stellantis.

    Kaluga, about 180 km southwest of Moscow, has become a center of the Russian auto industry. Volkswagen Group opened an assembly plant there in 2007, as did Volvo trucks. Prominent suppliers in the area include Continental, Magna International and Visteon.

    Tavares' announcement came after Moscow decided a ban on exports of certain goods, including vehicles, and agricultural commodities, as a retaliation measure against Western sanctions imposed over its invasion of Ukraine.

    The Ukraine crisis is driving up the price of metals used in cars, from aluminum in the bodywork to palladium in catalytic converters to the high-grade nickel in electric-vehicle batteries, increasing pressure on the industry, already facing higher energy costs.

    Tavares said further shortages of raw materials, including nickel for EV batteries were to be expected. "Stellantis has not been hurt so much so far as our supply base is not concentrated in Eastern Europe," he said.

    Catching Tesla

    Stellantis believes it can make up ground on electric vehicle pioneer Tesla in the coming years, Tavares said on Friday, adding that consumers would benefit from competition in the sector.

    The automaker this month presented its first business plan, with an aim to double revenue to 300 billion euros ($330 billion) a year by 2030, stepping up efforts to expand its electrified vehicle models.

    "I am very confident, I am trying not to be arrogant, just confident of the fact that we are going to catch up in the next couple of years with Tesla and it's going to be a very healthy competition," Tavares told reporters during a televised Q&A session with reporters organized by Mobility TV World.

    Tavares also called for greater investment in charging networks in Europe and the United States, to create a "density" which he deems fundamental to persuade families to switch to relying on electric cars.

    Automotive News Europe's Italy correspondent Andrea Malan contributed to this report

    Related Article
    Stellantis will export vans to Europe from Russia to help meet high demand
    RECOMMENDED FOR YOU
    BMW sticks to output targets despite growing supply chain woes
    Recommended for You
    bmw ix production Dingolfing 2020
    BMW sticks to output targets despite growing supply chain woes
    Maxim Sokolov
    AvtoVAZ names Russia's ex-transport minister as CEO after Renault exit
    Mercedes dealership Berlin
    Mercedes to cut dealerships, move to direct sales in distribution overhaul
    Sign up for free newsletters
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    Get Free Newsletters

    Sign up and get the best of Automotive News Europe delivered straight to your email inbox, free of charge. Choose your news – we will deliver.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    SUBSCRIBE TODAY

    Get 24/7 access to in-depth, authoritative coverage of the auto industry from a global team of reporters and editors covering the news that’s vital to your business.

    SUBSCRIBE NOW
    Connect with Us
    • Twitter
    • Facebook
    • LinkedIn
    • Instagram

    Founded in 1996, Automotive News Europe is the preferred information source for decision-makers and opinion leaders operating in Europe.

    Contact Us

    1155 Gratiot Avenue
    Detroit MI  48207-2997
    Tel: +1 877-812-1584

    Email Us

    ISSN 2643-6590 (print)
    ISSN 2643-6604 (online)

     

    Resources
    • About us
    • Contact Us
    • Advertise with us
    • Advertise with Us
    • Ad Choices Ad Choices
    • Sitemap
    Awards
    • Rising Stars
    • Eurostars
    • Leading Women
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Automotive News Europe
    Copyright © 1996-2022. Crain Communications, Inc. All Rights Reserved.
    • HOME
      • Latest news
      • Automakers
      • Suppliers
      • New Product
      • Environment/Emissions
      • Sales By Market
      • On The Move
      • Auto Shows
        • Munich Auto Show
        • Geneva Auto Show
        • Paris Auto Show
        • Beijing Auto Show
        • Shanghai Auto Show
    • Features
      • Long Read
      • Interview of the Month
      • Focus on Electrification
      • Focus on Technology
      • Segment Analysis
      • Cars & Concepts
      • Supplier Spotlight
      • Europe By The Numbers
    • Opinion
      • Blogs
      • Commentary
      • Guest columnists
    • Photos
      • Photo Galleries
      • Geneva Photo Gallery
      • Beijing Photo Gallery
      • Frankfurt Photo Gallery
      • Paris Photo Gallery
      • Shanghai Photo Gallery
    • Podcasts
    • Car Cutaways
    • EVENTS
      • ANE Congress
      • ANE Rising Stars
        • Meet the 2021 winners
      • ANE Eurostars
        • Browse photos from the 2021 awards ceremony
    • More
      • Publishing Partners
        • Capgemini: Securing the industry's future through a radical rethink
        • Capgemini: Succeeding with the automated driving journey through AI
        • HEXAGON: Plugging into data is the only way to make winning EVs
        • TUV Rheinland: Battery testing center for large battery packs and more
        • TUV Rheinland: Ideas, services and certifications for smart mobility
        • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
        • Toyota Europe
        • UFI Filters
      • Social Media
        • Facebook
        • Instagram
        • LinkedIn
        • Twitter
      • Contact Us
      • Media Kit
      • About Us