Business

Japan’s Toyota suspends operations at Russia plant

Company to stop shipping vehicles to Moscow, citing supply chain disruptions

Updated 4 years ago · Published on 03 Mar 2022 3:00PM

Japan’s Toyota suspends operations at Russia plant
Toyota says it has no factories in Ukraine but has suspended sales operations in the country since February 24, when Moscow launched its assault. – Pixabay pic, March 3, 2022

TOKYO – Toyota said today it would suspend operations at its only factory in Russia and stop shipping vehicles to the country, citing “supply chain disruptions” linked to Moscow’s assault on Ukraine.

The world’s top-selling carmaker said its plant in Saint Petersburg produced around 80,000 vehicles last year, mainly for the Russian market and representing just a fraction of the 10.5 million vehicles made worldwide by the Japanese group.

The Saint Petersburg plant employs around 2,600 people, a Toyota spokesman told AFP, confirming the supply disruption is linked to the conflict.

Toyota has no factories in Ukraine but said sales operations in the country had been suspended since February 24, when Moscow launched its assault.

Western governments, sporting organisations and big companies have cut Russia off or dealt it punishing sanctions over the internationally condemned attack.

Other Japanese firms also announced today that they are halting or altering business as a result of the situation.

Honda said it had suspended all exports to Russia “until further notice”, though the firm only exports around 3,000 cars and motorbikes a year to the country.

Mazda, which sold around 29,000 vehicles in Russia last year, said it had stopped reserving containers for shipments to the country and would continue operating its joint venture factory in Vladivostok until parts run out.

Others were more cautious, with Nissan and Mitsubishi Motors saying they were reviewing the situation.

Japanese airlines are also being forced to adapt to tit-for-tat airspace closures, with Japan Airlines and All Nippon Airways cancelling some routes and rerouting others to avoid Russia, adding hours to some flights. – AFP, March 3, 2022

Related News

Malaysia / 1mth

Body found at KLIA2 in tyre storage compartment of aircraft from Japan

Malaysia / 1mth

Woman, believed to be foreigner, allegedly causes disturbance at KLIA (video)

Education / 1mth

Zambry leads Malaysia delegation to Russia for bilateral cooperation talks

Malaysia / 1mth

Malaysian dies while transiting in Bangkok to Japan (video)

Opinion / 2mth

Wikipedia has become compromised by intelligence agencies and ideological capture

World / 2mth

Why Russia is expanding the Northern Sea Route

Spotlight

Malaysia

Five fatal helicopter crash victims honoured in Sarawak state awards

Malaysia

No Malaysian is left behind; Budget 2027 puts people first - Anwar  

Malaysia

Panama hit by 6.4-magnitude earthquake

Malaysia

Haze blankets 33 areas with unhealthy air

Malaysia

Malaysia’s 2027 Budget is a steady one: people-oriented continuity rather than bold reform

Malaysia

Budget 2027: What is in it for me?

Malaysia

Budget 2027 steps up Sabah, Sarawak funding by RM2.2b amid push for development parity

Malaysia

Budget 2027: Maternity leave entitlement increased, minimum pension raised to RM1,350

You may be interested

Business

Malaysia draws US$9.5b in orders for US$1.5b sukuk, cuts borrowing costs

Business

Oil slips on Trump’s Iran remarks, but supply risks and strong US dollar keep markets on edge

Business

Budget 2027 channels RM270m to SMEs through crowdfunding, P2P financing

Business

Budget 2027 targets foreign e-commerce platforms, channels billions into local firms and startups