The German supplier is producing again in Russia out of concern for its employees.
(Photo: Reuters)
Hanover The automotive supplier and tire manufacturer Continental has restarted production in Russia. On Tuesday, the company confirmed a report in the “Frankfurter Allgemeine Zeitung” (Wednesday), according to which tire production in Kaluga, southwest of Moscow, had already started up again at the end of last week.
“The current situation is extremely complex for international companies like Continental that operate production facilities in Russia. Our employees and managers in Russia are threatened with severe criminal penalties if we refrain from serving local demand,” the group said in a statement. “The basis for this step is the duty of care for our employees in Russia.”
Conti had stopped working in Kaluga at the beginning of March, as well as the entire import and export business with the Russian Federation, as it was called at the time. Production is now being resumed at the location “temporarily if necessary”. It’s a lot well below the previous capacity utilization of the plant. With the temporary start of production in the tire plant in Kaluga, Conti is not pursuing “any intention of making a profit”.
Conti also operates sales offices in Moscow and is involved in a joint venture in Tschistopol near Kazan, which assembles tachographs for commercial vehicles. In total, the Dax group employs around 1,300 people in Russia; there are no own locations in Ukraine.
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“Continental supports and complies with all applicable sanctions and legal regulations imposed as a result of the war in Ukraine,” the statement said.
More: Persil manufacturer Henkel is closing business in Russia