“Controlled Retreat”
Auto parts supplier Continental sells plant in Russia
05/22/2023, 3:00 p.m
Continental wants to withdraw from Russia. Shortly after Volkswagen, the automotive supplier is now also parting with its plant in the city of Kaluga. However, this is not the only planned sale.
The automotive supplier and tire manufacturer Continental has taken an important step forward with its planned withdrawal from Russia. The plant in the city of Kaluga with 1100 employees was sold to the Russian company S8 Capital, as the Dax group announced in Hanover. Like many other companies, Conti reacted to the Russian war of aggression against Ukraine with this decision.
In the plant, Continental manufactured car tires and produced air conditioning and power steering lines as well as parts for air suspension systems for the Russian market. The sales company for tires in Moscow is also part of the sale. The transaction has been approved by the responsible authorities, it said. The parties had agreed not to disclose the purchase price and other details.
According to Continental, it still owns shares in a joint venture for the production of tachographs in Chistopol with around 10 employees. The sales process is at an advanced stage and the necessary official approvals are still pending, it said.
There are also sales offices in Moscow with around 30 employees. Here, too, a controlled withdrawal is still being sought.