Hyundai Motor said it had cancelled plans to resume production at its car plant in Russia this week due to continued supply chain disruption, according to reports in South Korea citing a company spokesperson.
The carmaker suspended operations at St Petersburg on 1 March due to ongoing shortages of semiconductors, which has affected all major automaker globally in the last year, but had planned to resume operations on 9 March.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
The plant produced 234,000 vehicles last year, including 25,500 units for export. Its most popular model in Russia is the Rio compact car with 81,500 sales last year.
The Russian invasion of Ukraine has caused additional supply chain disruption with many air and sea transportation routes suspended due to sanctions imposed by the US, the European Union and other countries in protest at the invasion.
Many global automakers have suspended their operations in Russia in protest at Russia’s actions, including Ford which halted production at its Ford-Sollers joint venture in the country, while many other companies, including Volvo Cars, Toyota, Jaguar Land Rover, Ford, General Motors, BMW, Daimler Trucks and Volvo Trucks, have ceased component exports to the country.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalData
