Russian company Automotive Technologies has commenced the assembly of Citroen C5 Aircross models at a plant south of Moscow, formerly owned by Stellantis. These vehicles are scheduled to hit dealerships starting May.
According to Reuters, Automotive Technologies imported a minimum of 42 car kits from China for the assembly of Citroen models at the facility. These kits, produced by China’s Dongfeng Motor Group, underscore the global supply chain involved in the production process.
Stellantis previously stated that it had lost control of its entities in Russia since December 31, 2023, confirming a shift in ownership.
In a recent statement, Automotive Technologies announced the initiation of batch assembly for Citroen C5 Aircross crossovers at the Kaluga factory, with deliveries to official Citroen dealerships slated for May 2024, and bookings available as early as April.
These developments shed light on the evolving landscape for Western companies in Russia post-2022 invasion of Ukraine, showcasing Moscow’s growing reliance on Beijing, especially within the automotive sector.
Stellantis reported a loss of 144 million euros (USD 155.75 million) due to the cessation of its Russian operations in February, emphasizing the financial impact of geopolitical shifts on multinational corporations.
Chinese trade data reveals a substantial surge in car exports to Russia in 2023 compared to the previous year, underscoring the strengthening ties between the two nations in the automotive industry.
Dongfeng and Stellantis, ranking as the world’s third-largest automaker by revenue, maintain a commercial joint venture in China, enabling Dongfeng to manufacture and distribute Stellantis vehicles within the Chinese market.
