×
Enjoying ad-free content?
Since July 1, 2024, we have disabled all ads to improve your reading experience.
This commitment costs us $10,000 a month. Your support can help us fill the gap.
Support us
Our journalism is banned in Russia. We need your help to keep providing you with the truth.

Carmaker Nissan Suspends Production at Russia Plant Due to Weak Sales

A new Nissan Sway concept car is seen during the second press day ahead of the 85th International Motor Show in Geneve.

TOKYO — Nissan Motor Co said Tuesday that it was suspending production at its St. Petersburg plant between March 16 and March 31 due to weak sales in the Russian market.

Japan's No.2 automaker will not extend temporary contracts at the factory and will suspend hiring, a spokeswoman said.

Industry-wide new car sales in Russia plunged 38 percent in February from the same month a year earlier, continuing a sharp decline in 2014 as the economy weakened due to lower oil prices and Western sanctions over Moscow's role in the Ukraine crisis.

The ruble also tumbled last year, forcing consumers to put off large purchases and automakers to raise prices.

The tough market has also prompted General Motors Co to announce plans to idle its Russian plant for eight weeks starting in late March, after it had already cut one of the two shifts at the factory in September.

Nissan builds the X-Trail, Murano, Teana and Pathfinder models at the St. Petersburg factory. It also has local production of other models at factories owned by top Russian automaker Avtovaz, in which Nissan and Renault SA jointly hold a majority stake.

Nissan has plans to eventually double production capacity in St. Petersburg to 100,000 vehicles a year, and said Russia remains an important long-term investment.

… we have a small favor to ask. As you may have heard, The Moscow Times, an independent news source for over 30 years, has been unjustly branded as a "foreign agent" by the Russian government. This blatant attempt to silence our voice is a direct assault on the integrity of journalism and the values we hold dear.

We, the journalists of The Moscow Times, refuse to be silenced. Our commitment to providing accurate and unbiased reporting on Russia remains unshaken. But we need your help to continue our critical mission.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and you can be confident that you're making a significant impact every month by supporting open, independent journalism. Thank you.

Once
Monthly
Annual
Continue
paiment methods
Not ready to support today?
Remind me later.

Read more