AvtoVAZ has suspended production again this week after SOK Group stopped parts supplies, according to a report in business daily Kommersant.
SOK Group suspended the supplies shortly after a report that AvtoVAZ delayed talks on acquisition of carmaker IzhAvto from SOK Group.
AvtoVAZ is expected to resume operations later this week, after talks with the supplier, the company’s press office told Tass.
SOK Group, which accounts for 40% of AvtoVAZ’s component input, has refused to accept AvtoVAZ’s bills of exchange as payment for component supplies, sources at both companies told Kommersant.
AvtoVAZ has switched to paying for 70% of component supplies with its bills of exchange in recent months.
In early February AvtoVAZ suspended production after other suppliers also declined to accept its bills of exchange and interrupted deliveries.