@VW Group: FAQs – Ukraine005914

How do you deal with the Russian government’s threat to nationalize the Volkswagen Group’s factories and assets in Russia and place them under external administration?
The Volkswagen Group is following the discussions about expropriation with concern.

Volkswagen has suspended the production of vehicles in and export of them to Russia until further notice.

Our employees in Kaluga remain employed by us, and their wages will continue to be paid while our business is suspended. The costs of that will be borne fully by VGR.

We will supply spare parts and fulfil our service and warranty obligations subject to the restrictions imposed by the EU’s sanctions. Incidentally, technical support for the affected parts and components is also impacted by these sanctions. Like other companies in the region, we face an exceptional situation: a lack of or severely limited availability of parts from suppliers and logistical challenges as a result of the hostilities.

Do you continue to supply spare parts to repair customers’ vehicles in Russia?
We will supply spare parts and fulfil our service and warranty obligations subject to the restrictions imposed by the EU’s sanctions. Incidentally, technical support for the affected parts and components is also impacted by these sanctions. Like other companies in the region, we face an exceptional situation: a lack of or severely limited availability of parts from suppliers and logistical challenges as a result of the hostilities.

Does Russia’s invasion of Ukraine change anything regarding your business? Are any plans being reassessed? Might you scale back your activities?
Volkswagen Group Rus has suspended production in Russia until further notice. We are reviewing current developments constantly. Due to the high level of uncertainty in the current situation we are unable to predict any potential restart of production in Russia at the moment. Due to the high complexity of the production planning process and unpredictability of the general situation, at the moment we are not able to plan any production volumes for 2022.

Does ŠKODA AUTO still have responsibility for the Russian and Ukrainian markets?
Yes. As of 2022, ŠKODA is fully responsible for the management and financial governance of the Russian region.

How many cars will not be produced this year due to the closure of Russian production plants?
The Russian market is one of ŠKODA’s most important markets globally. In 2021, Russia was the brand’s second-largest market; a total of 90,400 ŠKODA vehicles were delivered to customers there. Production was suspended in March, by then,14,600 cars had been delivered to customers. No further production volumes are planned at least until the end of 2022.

Where do Russia and Ukraine rank among your export markets?
The Russian market was one of ŠKODA’s most important markets globally. In 2021, Russia was the second-largest market overall. A total of 90,400 ŠKODA vehicles were delivered there.

Ukraine has also been a stable market, with sales of around 6,000 ŠKODA vehicles a year. Since 2002, approximately 190,000 ŠKODAs have been produced at the plant in Ukraine.

How will the war in Ukraine affect your production this year?
We are monitoring the situation, it is not possible to estimate the full impact on production at the moment.

How big was the Russian market for you?
The Russian market was one of ŠKODA’s most important markets globally. In 2021, Russia was the brand’s second-largest market; a total of 90,400 ŠKODA vehicles were delivered to customers there.

Will ŠKODA be exporting cars to Russia?
In view of the Russian attack on Ukraine and the consequences of it, the Volkswagen Group’s Board of Management has decided to stop exporting cars to Russia with immediate effect. We continue to monitor the situation at the level of ŠKODA AUTO and the Volkswagen Group. We will not be making any further comments on the future strategy for the Russian market at this time.

Is Volkswagen leaving Russia entirely?
We continue to monitor the situation at the level of ŠKODA AUTO and the Volkswagen Group. We will not be making any further comments on the future strategy for the Russian market at the moment. 

Do you ever plan on resuming production activities in Russia?
Volkswagen Group Rus has suspended production in Russia until further notice. We are reviewing current developments constantly. Due to the high level of uncertainty in the overall situation we are unable to predict any potential restart of production in Russia at the moment. Due to the unpredictability of the general situation and the high complexity of the production planning process of, we are not able to plan any production volumes for 2022.

What will leaving the Russian market mean for you in terms of financial losses?
At this time, it is impossible to determine the exact impact this will have on ŠKODA AUTO’s financial performance in 2022. The issue is being addressed at the level of ŠKODA AUTO and the Volkswagen Group.

Will you be relocating production from Russia to another site and where would that be? Do you have free capacity for this?
At the moment, it is too early to predict how the production programme will be replaced. We continue to monitor the situation at the level of ŠKODA AUTO and the Volkswagen Group. We will not be making any further comments on the future strategy for the Russian market at the moment.

2.1. Production in Ukraine and Russia

What models and how many do you produce in Ukraine?
We are producing the SUPERB, KODIAQ, KAROQ and the FABIA COMBI in Ukraine. Production in Ukraine, which is handled by our business partner Eurocar, has resumed in CW 24 at the Solomonovo plant. In a first step, Eurocar completed 80 units of the SUV models KODIAQ and KAROQ, which were brought from Mladá Boleslav to Ukraine in SKD format. Further vehicles were heading to Ukraine during July, August and September as well.

What markets are ŠKODA cars made in Ukraine destined for?
Cars produced at the Solomonovo plant are intended for customers in the Ukrainian market only.

Were cars produced there shipped to Germany/Western Europe?
The cars produced at the Solomonovo plant are intended only for customers in the Ukrainian market.

What ŠKODA models are manufactured in Russia? Is production currently underway in Nizhny Novgorod and Kaluga?
In Russia, we produced the RAPID, OCTAVIA, KAROQ and KODIAQ. In Nizhny Novgorod, we produced three models – the OCTAVIA, KAROQ and KODIAQ, however, Volkswagen Group Rus took the decision to start the formal process of closing its office in Nizhny Novgorod already on July 5, 2022. The RAPID was produced at our Kaluga plant. 

What will now happen to the Kaluga plant, which is owned by the Volkswagen Group? What purpose will it serve?
Volkswagen Group Rus has suspended production in Russia on 3 March 2022 until further notice. Due to high level of uncertainty in the overall situation we are unable to predict any potential restart of production in Russia at the moment. The Volkswagen Group Rus employees are staying in downtime. We are constantly monitoring the current developments and are considering various future scenarios, however no decision has been made.

Have any Volkswagen Group cars been produced in Russia and exported to other markets?
Cars produced at Russian Volkswagen Group plants were also intended for export to CIS countries (Belarus, Azerbaijan, Kazakhstan, Armenia, Tajikistan, Uzbekistan).

2.2. Employees in Ukraine and Russia

How many people do you employ in Russia and Ukraine?
Vehicle production in Ukraine is handled by our business partner Eurocar and its local employees. No ŠKODA AUTO employees are assigned there. All of our employees have returned from their assignment in Russia.

What is the employees’ situation at the factory in Ukraine and is production currently running there? What is the status of production at the plants in Russia?
ŠKODA AUTO and its business partner Eurocar are pleased to announce that production of ŠKODA vehicles has resumed in the 24th calendar week at the Solomonovo plant in Ukraine. In a first step, Eurocar completed all 80 vehicles by mid-June. These were the KODIAQ and KAROQ SUVs, which were shipped in SKD format by train from Mladá Boleslav to Ukraine.

In view of the Russian attack on Ukraine and the consequences of this, the Group Board of Management of Volkswagen AG has decided to halt the production of vehicles in Russia until further notice with immediate effect. This decision applies to the Russian production sites in Kaluga and Nizhny Novgorod, where Volkswagen Group Rus took the decision to start the formal process of closing its office already on July 5, 2022. This process fully complies with Russian labor legislation and is in accordance with the employees’ rights.

What is going to happen to your Russian employees at the Russian plants in Kaluga, Nizhny Novgorod and Moscow?
Intensive negotiations, which also involve the trade unions, are currently underway at the Group level. At the same time, the Volkswagen Group’s Board of Management takes its responsibility for the affected employees of Volkswagen Group Rus very seriously.

Taking into consideration this high level of uncertainty and the inability to predict any potential restart of production, Volkswagen Group Rus took the decision to start the formal process of closing its office in Nizhny Novgorod already on July 5, 2022. This process fully complies with Russian labor legislation is in accordance with all employees’ rights. The majority of the Volkswagen Group Rus personnel in Nizhny Novgorod took an offer to leave voluntarily.

The Volkswagen Group Rus employees in Kaluga are staying in downtime. We are constantly monitoring the current developments and are considering various future scenarios, however, no decision has been made. We hope for your understanding that we will refrain from further comments.

2.3. Suppliers in Ukraine and Russia

How many suppliers do you have in Ukraine in total?
The number of suppliers is relatively small, namely three direct suppliers and two other suppliers supplying just-in-sequence (‘JIS’). In addition, ŠKODA AUTO has another five subcontractors there. The supply chain is being assessed with the aim of defining additional subcontractors so that further risks to the supply can be eliminated.

What about suppliers in Ukraine and Russia? Are you suspending cooperation with Russian suppliers as well? Where will you source the missing parts from?
We are working closely with our Ukrainian partners to find ways to secure production at our suppliers’ sites, while keeping the employees as safe as possible. We are maintaining our business relationship with our Ukraine suppliers.

In Russia, some Western suppliers were producing for us in small amounts. The supply chain is being assessed to identify alternative suppliers so that further risks to supply can be eliminated.

What is ŠKODA AUTO doing to secure the sources of material and components that are either produced in or pass through Ukraine?
We remain fully committed to our Ukrainian partners. Most of them continue with the production – for this, they have our deepest respect. At the same time, in cooperation with them, we have decided to temporarily duplicate production of cable harnesses in some other countries and therefore to ensure smooth production in the long term and also to pre eliminate possible risks.

Where do you duplicate the production of cable harnesses?
As the first step of doubling the production, in collaboration with PEKM Kabeltechnik, ŠKODA AUTO has already relocated a part of the production of cable harnesses, including several dozen employees, from Ukraine to Mladá Boleslav. The production was relocated within only five weeks after the breakout of the war. Duplicated production has gradually ramped up from CW 14, at the moment the FABIA COMBI cable harnesses are being made there and within the next few weeks, the production of wiring harnesses for the OCTAVIA, KODIAQ, KAROQ and SUPERB models will start in Mladá Boleslav. We have also duplicated production of cable harnesses in Morocco.

To what extent do existing or new sanctions affect Volkswagen’s cooperation with the contractor manufacturer in the plant in Nizhny Novgorod?
Due to the general political and economic situation and resulting effects, the contract manufacturing of VOLKSWAGEN Group Rus models at the GAZ automotive plant in Nizhny Novgorod was suspended on March 3, 2022. OFAC General License 15L allowed Volkswagen Group Rus to wind down the business operations in Nizhny Novgorod till May 25, 2022.Taking into consideration this high level of uncertainty and inability to predict any potential restart of production, Volkswagen Group Rus took the decision to start formal process of closing its office in Nizhny Novgorod already on July 5, 2022. This process fully complies with Russian labour legislation and is in accordance with the employees’ rights. The majority of the Volkswagen Group Rus personnel in Nizhny Novgorod took an offer to leave voluntarily.

3.1. Car production in the Czech Republic

Are you facing supply shortages due to the situation in Ukraine? If so, are these the only suppliers for Europe and Russia and do you have no alternative?
The Volkswagen Group’s global supplier network, which comprises more than 40,000 suppliers, also includes a number of suppliers in western Ukraine. Due to the current situation in this region, there may be disruptions in the supply chain. This can lead to adjustments in production at individual Group locations. In order to optimally cope with the situation, VW Group and ŠKODA set up a dedicated Taskforce team.

3.2. Sales

What is the current situation with customer orders?
ŠKODA AUTO’s team of specialists is working hard to ensure the supply of the missing parts. We will process customers’ orders according to the supply of these parts.

Are any models and powertrain configurations being prioritised in production?
We are managing our production based on the availability of parts and the queue position of the order.

Will the availability of vehicles be the same in all markets or will it vary?
We will be processing orders for cars according to the supply of parts.

On what basis, if any, are quotas for allocating cars to the various regions determined?
We produce cars on a first-come, first-served basis and according to the availability of parts.

Which model will now have the shortest and, conversely, the longest waiting time? And how long will the waiting times be?
We are reviewing and continually monitoring the situation and its impact on waiting times, which have already been affected by the global crisis stemming from the semiconductor shortage.

What effect will inflation have on ŠKODA’s prices?
Along with the automotive sector and other manufacturers, ŠKODA AUTO is facing the most significant rise in inflation in several years.

We are experiencing several inflationary pressures, caused by the Volkswagen Group’s decision to halt production in and exports to Russia as a result of its attacks on Ukraine, which is having an impact on the production of some ŠKODA models.

In addition, input and energy prices have increased. We are taking all possible countermeasures to minimize the impact of these developments, including hedging transactions and negotiating long-term contracts with our suppliers. At the same time, we are responding with increased cost discipline and the introduction of an extensive combined efficiency improvement programme. While these measures reduce the impact of price increases on our operations, unfortunately, they cannot fully offset them.

Has the situation in 2022 so far been even worse than in 2021?
Despite all the challenges, 2021 was a good year for ŠKODA AUTO. During the semiconductor supply crisis, which was particularly critical in the third quarter of last year, we took every step to produce as many cars as possible. That is also why we ultimately managed to deliver a total of 878,200 vehicles to customers worldwide. The all-electric ENYAQ iV successfully entered the market with almost 45,000 vehicles being delivered. Thanks to the new KUSHAQ, ŠKODA AUTO also grew significantly in India.

2022 has so far been no less challenging for ŠKODA AUTO. The ongoing shortage of semiconductors, coupled with the termination of production in Russia, supply chain issues, as well as the continuing uncertainty on the global markets and the rising prices of energy, raw materials and other inputs are continuing to weigh heavily on 2022. However, we still enjoy strong customer demand. Moreover, we believe that with its NEXT LEVEL – ŠKODA STRATEGY 2030, we are well-positioned over the long term to emerge stronger from the transformation process despite this extremely challenging situation.

3.3. Employees in the Czech Republic

How many Russian and Ukrainian employees do you have at your Czech plants?
We have 615 Ukrainian and several dozen Russian colleagues working at our Czech plants.

What is your approach to the possibility of ‘Kurzarbeit’?
ŠKODA AUTO would welcome the possibility of a long-term instrument such as the German ‘Kurzarbeit’ system (‘short-time work’) to help employers overcome potential economic difficulties and to ensure flexibility in the labour market in similar situations.

Is ŠKODA recruiting/planning to recruit Ukrainian refugees? Have you received any interest? 
Anyone from Ukraine can apply for a position at ŠKODA AUTO following the standard selection procedure. The full range of vacancies at ŠKODA AUTO is available on www.skoda-kariera.cz and www.job4ua.cz. We are currently offering positions in IT, as well as electrical specialists in Development or Production as well as specialists with experience in Purchasing and Supply Chain Management.

ŠKODA AUTO has prepared a Career Day event for people from Ukraine. There have been four successful sessions to date. This is a project that aims to provide job seekers with support and guidance so that they can make the best possible transition into the labour market. Among other things, we are also assisting women who are looking for work with creating a CV or finding a suitable position. 

Are you planning to lay off employees?
The current conflict in Ukraine is also impacting ŠKODA AUTO’s production. We are working with the KOVO trade union to handle the impact of this conflict on our employees as effectively as possible.

3.4. Suppliers

Is the shortage of the supply of raw materials from Russia already having any impact? How much more expensive are these raw materials becoming?
Neither risks in the supply of raw materials nor increases in their price can be ruled out at present. ŠKODA AUTO is constantly monitoring the situation regarding the capacity and demand for essential raw materials and parts. In collaboration with our suppliers, we are taking appropriate long-term measures to secure these.

What is your gas consumption? How would cutting off gas supplies from Russia affect you? Are you preparing for this?
The annual gas consumption of ŠKODA AUTO’s domestic plants amounts to less than 0.5% of the Czech Republic’s total consumption. However, the technologies of our paint shops and smelters are dependent on gas supplies, so any reduction would have a significant impact on production.

ŠKODA AUTO is constantly monitoring the situation regarding the capacity and demand for essential raw materials and parts. In collaboration with our suppliers, we are taking appropriate long-term measures to secure these.

ŠKODA AUTO is preparing intensively for a possible shortage of natural gas and electricity. Consequently, we are in regular contact with the relevant authorities in the Czech Republic such as the Czech Confederation of Industry & Transport and other associations that communicate the needs and opinions of Czech industry to the government

Our Czech production sites have already been examined and short-, medium- and long-term opportunities for energy savings have been identified. Measurements will be implemented as necessary to achieve savings quickly and effectively.

To reduce energy consumption, we take technological and organisational measures and, for example, reduce the heating of buildings. In addition, we are shutting down cogeneration plants that use gas to generate electricity, as well as some reserve plants in steelworks. However, these measures only reduce total consumption by a few percent.

If gas supplies are reduced, this will have a negative impact both on our supply chain as well as on the number of cars produced. The situation today also has an impact on our medium- and long-term planning. For projects that will be up and running in two or three years’ time, we have to decide now which energy sources will be viable for us. 

Do you communicate your gas hedging needs in the Czech Republic? If so, how?
ŠKODA AUTO assists in preparing scenarios through the Czech Confederation of Industry  & Transport and other associations that communicate the needs and opinions of Czech industry to the government and ministries.

What specific measures are you considering?
Reducing energy consumption is a long-term issue we are working on. For the scenario of limited gas availability, we are developing measures that can rapidly reduce consumption. These are a combination of technological and organisational measures, including reducing the heating of buildings, shutting down cogeneration units that use gas to produce electricity and switching off some backup installations in metallurgical plants. However, these actions will only result in consumption savings of a few per cent.

Could a potential gas shortage affect the implementation of future projects?
If gas supplies are significantly reduced, this will have a negative impact both on our supply chain as well as on the number of cars produced. The situation today also has an impact on our medium- and long-term planning. For projects that will be up and running in two or three years’ time, we have to decide now which energy sources will be viable for us.

How many employees does Volkswagen have in Russia?
Nearly 4,000 Volkswagen Group RUS employees work at the Kaluga plant in Russia. In Nizhny Novgorod and Moscow, there are more than 200 and nearly 600 Volkswagen Group RUS employees, respectively.

What cars of the other Group brands are produced in Russia?
The Volkswagen Tiguan and Polo are also produced in Kaluga.

The Volkswagen Taos is also produced in Nizhny Novgorod.

Vehicle deliveries to customers in Russia in 2021

Brand	Vehicle deliveries to customers in 2021
VW Passenger cars	86,100
ŠKODA	90,400
Total	176,500

Further information about Volkswagen Group RUS can be found here.
Further information about the Kaluga plant can be found here.
Further information about the Nizhny Novgorod production plant can be found here.
 

What does Volkswagen say about the current developments in the Ukraine crisis?
In view of Russia’s attack on Ukraine, Volkswagen’s Group Board of Management decided at the beginning of March to stop producing vehicles in Russia until further notice. This decision applied to the Russian production sites at Kaluga and Nizhny Novgorod.

The export of vehicles to Russia was also halted at that time.

Volkswagen has taken the decision to largely suspend business activities in Russia as a consequence of the current overall situation and the great uncertainty and upheavals it means. We are keeping a close eye on further developments with the task forces we have set up for that purpose.

A further, long-term interruption to global supply chains will result in considerable price increases, an energy shortage and an increase in inflation and thus have massive negative effects for European and in particular German companies.

Europe is dependent on imports of raw materials and so there might be long-term bottlenecks that would additionally hit the European economy. Sanctions and counter-sanctions will hit Russia and Europe; the USA and China will be largely unscathed. That is why the Volkswagen Group advocates a united, strong stance by the international community.

Volkswagen is now fully implementing the sanctions that have been imposed. The objective must be to achieve an end to the armed conflict in Ukraine, and in particular stop the suffering of the people in Ukraine, as soon as possible by means of negotiations between the parties on an equal footing.

What is your response to the Russian government’s threat to nationalize the Volkswagen Group’s plants and assets in Russia and put them under external administration?
The Volkswagen Group is following the discussions about expropriations with concern. Volkswagen is suspending the production of vehicles at the Kaluga plant and export of vehicles to Russia until further notice. The reasons for that include the sanctions imposed by the EU, a lack of or severely limited availability of parts from suppliers and logistical challenges as a result of the hostilities.

Please refer to question 6 as regards the situation relating to contract manufacturing at Nizhny Novgorod.

Our employees at the Kaluga plant remain employed by us and continue to be paid a reasonable portion of their wages in compliance with Russian statutory requirements while our business is suspended. The costs of that are borne fully by VGR.

We also continue to supply spare parts and fulfill our service, warranty and payment obligations within the bounds permitted by the EU’s sanctions.

What consequence does the loss of suppliers have for vehicle production?
The war in Ukraine temporarily resulted in plant closures at suppliers and, as a consequence, at the Group’s European production sites, too. As soon as the war broke out, the Group Board of Management established a crisis team. Thanks to the quick establishment of alternative production, the supply of the components in question was ensured, production stoppages were reduced and, together with the suppliers, the production of wiring harnesses at other locations outside Ukraine was duplicated.

The Volkswagen Group stands by its suppliers in Ukraine and, as befits a partner, is doing all it can to help the local companies. Production in Western Ukraine is now almost back to normal levels.

The war in Ukraine, the still difficult supply situation as regards semiconductors and the lockdowns in China with the production stoppages and supply-chain problems caused by them are having an overlapping impact on the provision of supplier parts.

What is the personnel situation like at your Russian plant?
The Group Board of Management takes its responsibility towards the affected employees at Volkswagen Group Rus very seriously. The affected employees at the Kaluga plant (a total of around 4,000) continue to be paid a reasonable portion of their wages in compliance with Russian statutory requirements. The costs of that are borne by Volkswagen.

At GAZ in Nizhny Novgorod, Volkswagen Group Rus has offered the around 220 direct employees of VGR a balanced package of benefits, which has been accepted by them. It includes financial compensation and health insurance up to the end of 2022.

What parts of the company belong to Volkswagen Group Rus? What is imported and produced?
Volkswagen Group Rus LLC is home to the Russian activities of seven brands in the Volkswagen Group: Volkswagen Passenger Cars, Volkswagen Commercial Vehicles, ŠKODA, Audi, Lamborghini, Bentley and Ducati.

The Volkswagen Group still sold around 199,000 vehicles in the Russian market in 2021. Around 170,000 vehicles were made at the company’s production sites in 2021: 118,000 units at the Kaluga plant and 52,000 at the Nizhny Novgorod plant (contract manufacturing on behalf of Volkswagen Group Rus). The total market share in 2021 was 11.9%. 11,500 vehicles were exported to CIS countries.

Has contract manufacturing at Nizhny Novgorod been closed down?
Contract manufacturing has been carried out by the GAZ automotive plant in Nizhny Novgorod on behalf of Volkswagen Group Rus since 2011. In April 2018, the U.S. imposed sanctions on the owner of GAZ, Oleg Deripaska, and his companies. Since then, operation of the GAZ automotive plant requires a General License issued by the competent U.S. agency OFAC. The last General License (GL 15L) allowed Volkswagen Group Rus to shut down operations in Nizhny Novgorod by May 25, 2022, after contract manufacturing Volkswagen Group Rus models in Nizhny Novgorod had been stopped on March 3, 2022, against the backdrop of the general political and economic situation and concomitant effects.

The ŠKODA OCTAVIA, ŠKODA KODIAQ, ŠKODA KAROQ and Volkswagen Taos were produced in Nizhny Novgorod in the past. Volkswagen Group Rus continues to supply the dealers of these vehicles produced there with spare parts and fulfills its maintenance and warranty obligations within the bounds of the sanctions imposed by the EU. As a result of the disruption of supply chains and import restrictions to Russia due to EU sanctions, the availability of some spare parts may be limited and there may be longer waiting times for repairs under warranty.

Cars produced in the Volkswagen Group’s Russian plants were also exported to the CIS countries (Belarus, Azerbaijan, Kazakhstan, Armenia, Tajikistan and Uzbekistan). We are currently working on a new strategy for supplying these markets.

Will production in Kaluga be resumed?
Volkswagen Group Rus has stopped production in Russia until further notice. We are keeping a close eye on current developments. Due to the high level of uncertainty associated with the overall situation, we are currently unable to predict when production in Russia will be able to resume.  

How are you helping the families of these employees following Russia’s invasion of Ukraine?
The Volkswagen Group, including all its brands, has donated one million euros to the UN Refugee Aid Agency. ŠKODA AUTO is also contributing to this donation.

In addition to this support, the company is pursuing other humanitarian efforts in collaboration with its social partner, the KOVO trade union.

Financial aid

● ŠKODA AUTO has donated CZK 10 million to the Czech non-profit NGO ‘People in Need’ (‘Člověk v tísni’).

● The town of Mladá Boleslav has organized a fundraiser for the hospital in the Ukrainian partner town of Tiačiv, to which ŠKODA AUTO will be contributing CZK 1 million. The KOVO MB Trade Union is also supporting this collection with CZK 1 million.

● The latest contribution is an employee collection organised in collaboration with the KOVO Trade Union. The company’s management doubled this amount to a total of CZK 3.6 million. In response to the critical situation in Ukraine, the carmaker has already released more than CZK 20 million.

● We are keeping our employees informed about material or financial collections organised by our partner towns. More information can be found here:

– Fundraising in Mladá Boleslav
– Material collection in Mladá Boleslav
– Material collection in Rychnov nad Kněžnou

Accommodation

We appreciate the fact that our partner towns of Mladá Boleslav, Rychnov nad Kněžnou and Vrchlabí have taken the necessary preparations to receive Ukrainian refugees. To cover their additional costs, ŠKODA AUTO will be donating CZK 1 million to Mladá Boleslav and half a million to Rychnov nad Kněžnou and Vrchlabí.

● The carmaker is also offering long-term accommodation to our employees’ families in the regions where it operates, for example, at the ŠKODA AUTO Hotýlek accommodation facility.

● The refugees are also being offered accommodation at the recreational facilities owned by the KOVO MB Trade Union or places at children’s camps for refugee children. At the same time, there are activities to support local municipalities in Rychnov nad Kněžnou and Vrchlabí in collaboration with the KOVO KV Trade Union and KOVO VR Trade Union.

● We are offering support with visa applications, accommodation, language courses, health care, integration and education. In addition to the activities already mentioned, we have opened a contact line for our employees.

Material aid

● ŠKODA Logistics is involved in transporting donated items and will be providing vehicles to support Czech humanitarian organisations in their work.

● We are also helping directly in Ukraine in Solomonov, where we assisted in building a refugee centre. With the help of ŠKODA Logistics, we have already transported twelve trucks of humanitarian aid to Ukraine.

● An example of an immediate response to the needs of refugee families is the support for the learning centre in Mladá Boleslav. From conception to implementation in just three days, the learning centre has been available since the beginning of March to help children and adults with integration and language courses. The interest in the learning centre has been such, that within two weeks, the capacity has grown to 600 children and adults who already have access to 23 classrooms across the town. ŠKODA AUTO has contributed financially to establishing and running the centre and expects to continue to do so.