RT.com
23 Sep 2022, 19:59 GMT+10
Toyota will retain after-sale services and a dealer network in the country
Japanese automaker Toyota has decided to shut down its plant in St. Petersburg, Russia's Ministry of Industry and Trade said in a statement on Friday.
The company vowed to fulfill all of its social obligations and promised extra payouts to its employees, according to the statement. The automaker will continue to provide after-sale services of Toyota and Lexus cars and maintain a dealer network in the country.
The news was first reported earlier on Friday by the newspaper Kommersant, citing sources in the company. According to the report, production of Toyota cars will not be resumed on-site, but the move to close the facility does not mean the automaker is completely leaving Russia.
Operations at the Toyota plant were suspended back in March due to supply-chain disruptions amid the Ukraine conflict. At the same time, the company stopped importing vehicles into Russia.
The plant, which made the Camry and RAV4 Toyota models, had capacity to produce 100,000 cars per year. According to Kommersant's sources, the plant will be preserved and may be sold in the future. The ministry said that the regional authorities were working on possible ways to make use of the site.
Toyota did not respond to media requests for comment.
READ MORE: Best-selling cars in Moscow revealed
The automaker is not the first to suspend operations in Russia since the start of the military operation in Ukraine. Volkswagen, Nissan, Mitsubishi, Volvo, and several others have halted their Russian operations since February 24.
For more stories on economy & finance visit RT's business section
Get a daily dose of Professional Autos news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Professional Autos.
More InformationRIO DE JANEIRO, Brazil: At a two-day summit over the weekend, the BRICS bloc of emerging economies issued a joint declaration condemning...
LONDON, U.K.: This week, BP appointed Simon Henry, former Shell finance chief, to its board as a non-executive director effective September...
OTTAWA, Canada: With Canada Post struggling to maintain operations amid labour unrest, rivals like FedEx and UPS are stepping in to...
NEW YORK, New York - U.S. and global markets showed a mixed performance in Tuesday's trading session, with some indices edging higher...
PARIS, France: French military and intelligence officials have accused China of orchestrating a covert campaign to damage the reputation...
NEW DELHI, India: Birkenstock is stepping up its efforts to protect its iconic sandals in India, as local legal representatives conducted...
New Delhi [India], July 9 (ANI): The 'Keel Laying' ceremony of the third Fleet Support Ships (FSS) of the Indian Navy was held at L&T...
Kochi (Kerala) [India], July 9 (ANI): The Kerala government has filed an appeal against the High Court single bench order quashing...
New Delhi [India], July 9 (ANI): Stressing that Punjab needs more water to cater to its irrigation needs, as most of the state's river...
Hyderabad (Telangana) [India], July 9 (ANI): Telangana Irrigation, Food and Civil Supplies Minister Capt. N. Uttam Kumar Reddy on Wednesday...
Hyderabad (Telangana) [India], July 9(ANI): Senior Congress leader V Hanumanth Rao on Wednesday held a day-long dharna near the Rajiv...
Mandi (Himachal Pradesh) [India], July 9 (ANI): Stressing the Central government's relief measures for disaster-affected Himachal Pradesh,...