PRAGUE, March 1 (Reuters) – Czech carmaker Skoda Auto, a part of Volkswagen (VOWG_p.DE), will restrict some manufacturing at its home crops resulting from provide shortages following the invasion of Ukraine by Russia, whereas he stated his Russian operations have been nonetheless ongoing.

“As a result of present state of affairs in Ukraine, Skoda Auto is dealing with vital elements provide shortages from a number of native suppliers that are having an impact on a few of our fashions,” he stated.

“That is the explanation why we’ll restrict the manufacturing of the ENYAQ iV from this week.”

Skoda stated its provide chain consists of numerous suppliers in western Ukraine.

The Czech automaker stated manufacturing was nonetheless operating at its two crops in Russia, which has been hit by Western sanctions for its invasion of Ukraine.

Responding to a query about any influence on manufacturing and operations within the occasion of latest sanctions towards Russia, Skoda stated: “Impacts can actually be anticipated, however the closing choice and future path can be decided by the (Board of Skoda Auto) and in session with the Volkswagen Group.”

Russia was Skoda’s second largest market in 2021, with over 90,000 autos delivered. Ukraine has additionally been a steady market, he added.

“The gross sales technique in Russia and Ukraine is at present below intensive dialogue. Gross sales in Ukraine and Russia could be anticipated to fall given latest developments,” Skoda stated.

Reporting by Jason Hovet; edited by Michael Kahn and Jason Neely

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