Volkswagen has postponed the final decision on whether to build a car plant in Turkey, a company spokesman has said, amid international criticism of the country's military operation in Syria and concerns about potential reputational fallout.

"We are carefully monitoring the current situation and look with concern at current developments," the spokesman told Reuters on Tuesday.

Discover B2B Marketing That Performs

Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.

Find out more

Earlier this month, Volkswagen established a subsidiary in Turkey's western Manisa province while the company said it was still in the final stages of negotiation and that it had not made a final decision on the factory.

Other media reports said the plant would have capacity for 300,000 units a year and would build the redesigned Passat and Skoda's Superb.

According to Reuters, German chancellor Angela Merkel said on Sunday she told Turkish president Tayyip Erdogan the offensive must be stopped because it risked creating a humanitarian crisis.

European Union countries agreed on Monday to limit arms exports to Turkey, while US president Donald Trump imposed sanctions on the country, the report added. 

GlobalData Strategic Intelligence

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

Just Auto Excellence Awards - The Benefits of Entering

Gain the recognition you deserve! The Just Auto Excellence Awards celebrate innovation, leadership, and impact. By entering, you showcase your achievements, elevate your industry profile, and position yourself among top leaders driving automotive industry advancements. Don’t miss your chance to stand out—submit your entry today!

Nominate Now