GM has announced it will extend the suspension of its business operations in Russia amid the ongoing war in Ukraine.
In a statement published via the Chevrolet Russia press site on Tuesday, the automaker confirmed it will not facilitate vehicle imports or conduct any commercial activity in the country for the foreseeable future.
“Due to the crisis in Ukraine and resulting US and international sanctions, GM is taking further actions to extend the suspension of operations in Russia,” the automaker said. “GM suspended vehicle imports and commercial activity in Russia on February 28. As the situation continues to worsen, the company has decided to extend the suspension of the GM Russia business.”
GM spokesman George Svigos told The Detroit Free Press the automaker typically sells about 3,000 imported vehicles a year in Russia between its Chevrolet and Cadillac brands. The automaker no longer operates manufacturing plants in the country after it sold its 50 percent stake in the AvtoVAZ joint venture in 2019. GM previously produced a small number of Chevrolet-branded Lada vehicles through its AvtoVAZ joint venture at a facility located in St. Petersburg.
The American automaker also operates a commercial office located in Russia’s capital of Moscow, where roughly 66 employees work. It plans to lay off the employees in the near future and will offer them severance packages. A small team of employees could be retained to maintain the office there, according to The Detroit Free Press.
“Our thoughts are with the people of Ukraine at this time,” GM said in a statement released at the beginning of March. “The loss of life is a tragedy and our overriding concern is for the safety of people in the region.”
In addition to GM, its crosstown rivals over at Ford and Stellantis have also suspended business operations in Russia. Stellantis has halted sales in the region and suspended production at its Kaluga manufacturing plant. Ford no longer operates manufacturing plants in Russia but enjoys strong sales of its Transit commercial van there. The Dearborn-based automaker halted all commercial operations in Russia, including Transit sales, at the beginning of March.