KYODO NEWS - 1 hour ago - 09:30 | All, Japan, World
Toyota Motor Corp. said Friday it has decided to end auto production in Russia due to interruption to supplies of key materials and parts, as Moscow's war against Ukraine shows no signs of abating seven months on.
Toyota, which halted operations at its plant in St. Petersburg in March due to supply chain disruptions, is the first major Japanese automaker to announce its exit from vehicle manufacturing in Russia.
Nissan Motor Co., another Japanese automaker, recently decided to extend its suspension of its plant in St. Petersburg for three months until late December. The plant had been set to resume by the end of September.
Toyota said in a statement that it has been unable to resume normal activities even after half a year and sees "no indication that we can restart in the future."
Its operations in Moscow will be restructured to continue to provide maintenance services to existing customers of its Toyota and Lexus brand vehicles, the Japanese automaker said.
Toyota employs around 2,350 people in Russia including at its St. Petersburg factory, which began production in 2007 and manufactures the RAV4 sport utility vehicle and the Camry sedan. In 2021, it produced about 80,000 units.
Chief Communication Officer Jun Nagata told reporters online that the company chose to close its factory in Russia now to ensure it can offer assistance to its employees.
Toyota said in the statement that it will support its employees for "re-employment, re-skilling and well-being, including financial support."
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By Yasuko Kishimoto, KYODO NEWS - 19 minutes ago - 10:38 | Feature, All, Japan
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