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Stellantis suspends production at plant in Russia

Sanctions and logistics prompt car and truckmaker to halt operations in the country

Stellantis has become the latest company to halt operations in Russia as the car and truck manufacturer suspended work at a plant south of Moscow where it builds vans and people carriers under brands including Fiat and Opel.

The company, which was formed last year through the merger of Peugeot owner PSA and Fiat Chrysler, said on Tuesday “the rapid daily increase in cross sanctions and logistical difficulties” prompted the move.

Before Russia invaded Ukraine, Carlos Tavares, Stellantis chief executive, played down the expected impact of a war on the company’s operations. Tavares said then, when the group unveiled its full-year earnings, that the company’s Russian factory in Kaluga acted as a “complement” to operations elsewhere and produced 10,000 of the 1.2mn light commercial vehicles it produced annually worldwide.

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