Porsche Is Reportedly Halting Production Because of Russia’s Invasion of Ukraine

The economic impact of Russia’s invasion of Ukraine is being felt well beyond either country’s borders, and it appears the automotive industry won’t be not immune.

Porsche will be forced to pause production of all its model lines at different points throughout the month of March, according to Motor1.com. While far from the most serious concern related to the war, it illustrates how the conflict could exacerbate the auto industry’s supply chain crisis.

Industry analysts have been concerned about how Russia’s invasion might affect carmakers since fighting began in late February. That’s because the country is an important source of supplies, in particular wiring harnesses, for European-based companies like Volkswagen AG, Porsche’s parent company. Ukraine reportedly produced 7 percent of the wiring harnesses that were imported into the economic union in 2021.

A Macan in the midst of production at Porsche’s Liepzig factory 


It would seem those concerns are already coming to fruition. Late last week, car vlogger Caleb J Schroeder posted an email he claimed was sent out by Porsche that outlined temporary production stoppages for all its vehicles throughout the month of March, some of which had already begun. The email states that production of the Macan and Panamera was stopped on March 2, the Taycan on March 3 and the Cayenne on March 7, with the 718 Cayman and Boxter to follow on March 14, the 911 GT3 and GT3 Touring on March 17 and all other 911 models on March 31.

Porsche confirmed to Motor1.com that production at its Liepzig facility, where the Macan and Panamera are built, stopped March 2, but said that its plant in Zuffenhausen was unaffected. A spokesperson for the brand told the website, “further steps will take place in an orderly process. In the coming days and weeks, we will operate on a short-term basis and continuously reassess the situation.”

Porsche did not immediately respond to a request for comment from Robb Report on Tuesday morning.

The news of the stoppages comes just days after Porsche announced that it would stop delivering vehicles to Russia with immediate effect, according to CarScoops. The marque operates 26 dealerships throughout the country but only sold 6,262 vehicles there during 2021. That represents a tiny fraction of the record-setting 301,915 vehicles the brand delivered last year. Porsche also donated €1 million (about $1.1 million) to help provide emergency aid for people affected by the invasion.

The marque is not the only automaker to provide financial support to Ukraine. Some of the industry’s biggest brands—including Mercedes-Benz, General Motors and Toyota—have donated money to the country, halted business in Russia or both since the end of last month.

Source: Robb Report

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