The war between Ukraine and Russia, which broke out almost three months ago, has created many problems for the car market, which is already deeply in crisis after the Covid-19 pandemic. The conflict in Ukraine, caused by the Russian invasion, has been deeply condemned on a global scale and drastic decisions have also been made by the automotive sector to express its position.
Numerous brands have in fact decided to stop the production of cars in Russia, choosing to leave the country in order not to feed its economy. Thousands of workers were left without work and that is why Renaultwho had decided to close the factories, took one important decision about the future of factories in Russia.
Renault, the choice over Russian branches
On Monday 16 May 2022, the French brand announced that it had decided to to sell the shares of the assets in Russia to the Moscow government. As communicated by the company, in fact, the Group’s Board of Directors unanimously approved the signing of the agreements to sell 100% of the shares held by the Group in Renault Russia to the city of Moscow. At the same time, the sale of the 67.69% of the investment in AVTOVAZ in NAMIthe Central Research and Development Institute for Automobiles and Engines.
The passage of the quotas, they said from Boulogne-Billancourt, is not subject to any conditions and all the necessary authorizations have already been obtained, so the closure should take place in the next few days and without obstacles. The farewell, however, it wouldn’t be definitive.
Renault, farewell to Russia that tastes goodbye
In the press release issued by the Diamond House, in fact, the clarification on some options that could allow Renault to return to Russia in the not too distant future also arrived. The French have in fact revealed that the agreement for the sale of the shares provides for a repurchase option of the stake in AVTOVAZ by the Renault Group which may be exercised in certain periods. in the next 6 years.
Luca de Meo, CEO of Renault, explained: “We made a difficult but necessary decision. We make a responsible choice towards our 45,000 employees in Russia, while preserving the Group’s performance and the possibility of returning to the country in the future, in a different context. I am confident in the Renault Group’s ability to further accelerate its transformation and exceed its medium-term objectives ”.
Not just Renault, those who have left Russia
Renault’s decision to leave Russia is certainly not isolated. In fact, many automotive brands have chosen to remove the curtains from Russian territory because of the war broke out in Ukraine. A painful decision, yes, but necessary in order not to link the name and history of the brands to the Kremlin’s war choices.
Over the past few months Stellaris has in fact announced that it has decided to suspend imports and exports with Russiabut also Ferrari he had opted for the hard punch, blocking all relations with Moscow. There are those who like Porschestopped production in Russia but he was also forced to stop work in many plants around Europe due to the lack of components coming from Ukraine.
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