November 2, 2024

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Renault suspends production at its Moscow facility as Ukrainian leaders call for a boycott

Renault suspends production at its Moscow facility as Ukrainian leaders call for a boycott

Regarding its participation in major Russian car maker AvtoVAZ, which is owned by Renault, the French automaker said it was “evaluating the options available, taking into account the current environment, while acting responsibly towards its 45,000 employees in Russia”.

The company also said it was “already implementing the necessary measures to comply with international sanctions.”

The AvtoVAZ Lada brand represented almost 21% of the Russian market in 2021, according to the financial results of the Renault group.

Earlier on Wednesday, Ukrainian President Volodymyr Zelensky Big French companies calledincluding Renault by name to continue their operations in Russia.

“Renault, Auchan, Leroy Merlin and others should stop sponsoring the Russian war machine,” Zelensky said.

Ukrainian Foreign Minister Dmytro Kuleba has gone further, calling for a global boycott of the auto industry.

“Renault refuses to withdraw from Russia. It should not surprise anyone when Renault supports a brutal war of aggression in Europe,” Kuleba said. tweet. “But mistakes must come at a price, especially when they are repeated. I call on customers and companies around the world to boycott the Renault group.”

Renault declined to comment when asked by CNN whether the decision to suspend its activities at the Moscow plant was related to the strong words of Ukrainian leaders.

Renault said in the statement that the value of its consolidated intangible assets, property, plant and equipment and goodwill in Russia amounted to more than $2.41 billion at the end of 2021.

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