Russian Stellantis Plant Will Shutdown As It Runs Out Of Parts!

The Kaluga Assembly Plant (PSMA Rus) is facing a shutdown as the plant has exhausted its parts supply. Due to the sanctions put in place by several counties, because of the ongoing crisis in Ukraine, the plant cannot get the parts it needs to manufacture additional products.

The facility is located about 125 miles southwest of Moscow and currently employs about 2,700 employees. Owned in partnership with Mitsubishi Motors (70% of the plant is owned by Stellantis), the facility manufacturers vehicles like the Peugeot 408, Citroën C4, Mitsubishi Outlander, and Mitsubishi Pajero. The plant also assembles light commercial vehicles (LCVs) vans for Opel, Peugeot, and Citroën. Those vehicles are the Peugeot Partner, Citroën Berlingo, and Opel Combo.

Stellantis said on March 24th, that the plant would continue to operate, but at a lower output. It would only produce vehicles for the local market with the potential to close. Up until the start of the crisis, the facility was a central export hub for Stellantis’ LCV lineup for Europe and was scheduled to produce a new FIAT variant in the upcoming months. 

Stellantis CEO, Carlos Tavares said that the company was looking to move some of its van production from the Kaluga facility to its plants in Hordain, France, and Luton, England.

Tavares stated on Thursday during a news conference, that Russia accounts for roughly €20 million to €30 million ($23 million to $33 million) of annual profit for the company. Russia has stated recently, that any foreign companies who withdraw from the country over the crisis in Ukraine, could face repatriation of their properties. Tavares did not comment on if the company would consider a write-down of the value of the facility or if he was worried that the Russian government might seize the plant if operations were to be halted indefinitely there.