Ford Leaves Russian Market After Seven-Month Suspension, Hands Business Over to Sollers

 

Ford joins its ex-partner Mazda in leaving Russian markets. The American manufacturer isn’t the first to call it quits since the attack on Ukraine; in fact, it was pretty much a finalization.

 

 

After suspending all operations for seven months since the Russians engaged with Ukraine, the process has only wrapped up recently, as Ford hands 49% of its shares over to Sollers in their joint venture. Sollers holds a number of national and international automaker brands as joint ventures, including the aforementioned Mazda, Toyota, Nissan-Renault, and a few others. The shares have been transferred for “a nominal value”, and like several other brands under Sollers, they have the option to buy back all capital within 5 years. Ford did state that they may return “should the global situation change”, but it’s quite unlikely, seeing the rather low sales figures in the previous years. Ford also announced in 2019 that plants and part manufacturing factories will cease production and close up shop, giving the controls to its partner brand.

 

 

Ford wasn’t the only one to quit in recent times, as Mercedes Benz also took leave, despite its popularity in the country. Sanctions have effectively killed off the profitability and ease in operations as well, so it’s only sensible that businesses are quitting the Russian market. We suppose electrification of the automotive industry in the country won’t be as quick as other places, considering the fact that there’s barely, if any, international companies left to develop electric cars with. Although they seem to be capable on their own, as Skoda recently announced its ‘performance’ electric SUV.

 

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p dir=”ltr”>(Images sourced from Ford, Sollers, and Mercedes Benz)

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