Toyota shuts Russia shop amid Ukraine war, no plans to restart in near future

Toyota Motor follows different Japanese carmakers like Nissan Motor and Honda Vehicles to tug out of Russia after the nation raged conflict in opposition to Ukraine.

Japanese auto big Toyota Motor is the newest carmaker to tug out of Russia amid the nation’s conflict in opposition to Ukraine. The carmaker made the announcement late on Friday, confirming its choice to close its solely plant within the nation within the wake of conflict. Information company Reuters reported that Toyota has determined to stop car manufacturing in Russia completely. Earlier than exiting, Toyota held the most important market share within the nation in comparison with every other Japanese model.

Toyota had started manufacturing automobiles domestically in Russia in 2007. It had arrange its plant at St Petersburg the place it used to fabricate RAV4 sport utility car and the Camry sedan earlier than the choice to close it down. Final yr, Toyota manufactured 80,000 autos and bought 110,000 items in Russia.

Toyota now joins different Japanese carmakers like Nissan Motor and Honda Motor because of the ongoing conflict between Russia and Ukraine. Toyota has not determined about the way forward for its workers working on the St Petersburg facility but. The carmaker has additionally confirmed that it has no plans to promote its enterprise as of now. Toyota issued an announcement saying, “After six months, we’ve not been capable of resume regular actions and see no indication that we will restart sooner or later.”

Toyota has assured that it’s going to to proceed to assist its retail community in Russia and in addition supply servicing services to its present prospects.

Russia’s auto market is in doldrums since President Vladimir Putin launched invasion of Ukraine earlier this yr. Deliveries of automobiles have plunged greater than 80 per cent between Could and June this yr. Avtovaz, which took over Renault’s enterprise after the exit of the French auto big, has elevated its share of gross sales in current months together with Chinese language firms which have stuffed the void left by western and Japanese manufacturers.

First Printed Date: 24 Sep 2022, 10:19 AM IST