Stellantis Joins Growing Number of Automakers Haulting Shipments to Russia
Stellantis isn’t the biggest player in Russia’s auto industry, but it’s still doing what it can.
Written by Andrew Koole
Reviewed by Kathleen Flear
The financial consequences for Vladimir Putin’s invasion of Ukraine keep piling up. Many of the world’s largest corporations have pulled out of Russia and stopped shipments to the country, from fast-food franchises like McDonald’s to tech companies like Apple and Google.
The auto industry has been no exception.
Car brands
like Toyota and Volkswagen are halting their business in Russia. Now the Netherlands-based conglomerate Stellantis has followed suit.Stellantis isn’t the most well-known name in the industry, but the brands under its control like Jeep, Fiat, and Peugot are recognizable all over the world.
Jerry
took a closer look at the details behind the company’s decision to cut ties with Russia.The impact of Stellantis’ pullout of Russia
Stellantis isn’t the auto industry’s biggest player in Russia. The most popular cars driven by Russians are from French automaker Renault, Hyundai, Volkswagen, and national brand Lada.
But the end to the company’s business in Russia still offers a sting to Putin’s regime, and it hits close to home, too. 2,700 people work in the now closed facility near Moscow that Stellantis owns in partnership with Mitsubishi.
Most Stellantis-owned brands that are popular in the U.S. like Chrysler, Dodge, and Ram are not sold in Russia. But the company did import Jeeps into the country, along with brands that are popular in Europe like Citreon, Fiat, Opel, and Peugeot, before ceasing business there.
MORE: The Family Tree of Cars
Let Jerry find your price in only 45 seconds
No spam · No long forms · No fees
Other action from the auto industry against Russia
The corporate world’s response to the invasion of Ukraine continues to grow. The
New York Times
says major players in food, travel, tech, consumer goods, finance, media, and energy have all thrown their support behind Ukraine by severing ties to its oppressor, Russia.Response from the auto sector was led by
Toyota
, the world’s largest automaker, which closed its St. Petersberg facility on March 4. Supply chain issues had already forced the company to stop imports into Russia, but the war will likely extend that position.Its closest competitor, Volkswagen (VW), also announced that it would stop its business with Russia. But the Czech automaker Skoda, which VW owns, continues to sell cars in the country.
TechCrunch
says other auto brands cutting ties in Russia include Aston Martin, BMW, Ford, Daimler, GM, Harley-Davidson, Jaguar, Mercedes-Benz, and Volvo.Russia’s auto industry might still survive
Despite all the actions made by the international auto industry, production and sale of vehicles in Russia still has a strong foundation.
RusAuto News says last year’s top two models in the country were the Lada Venta and Lada Granta. Lada cars are build by AvtoVAZ, Russia’s largest auto manufacturer.
AvtoVAZ is controlled by French automaker Renault which also has a number of popular vehicles in Russia.
HotCars
says Renault produces 40% of the vehicles built in Russia.Other large Russian automakers will take a hit from the end of their partnerships with Western companies, but with Renault and Czech brand Skoda still in play, the country’s roads will likely continue to carry
new cars
throughout the invasion of Ukraine.Are you overpaying for car insurance?
Compare quotes and find out in 45 seconds.
4.7You might also be interested
