TOKYO, April 8. /TASS/. Komatsu made the decision to suspend production at their plant in Russia due to the situation in Ukraine, the Japan’s largest construction machinery and equipment producer said on Friday.
"Due to the situation in Ukraine, the disruption in the supply chain surrounding Komatsu has remained serious, and the impact on the financial and economic situation remains uncertain," the company noted.
"As announced in its news release of March 30, 2022, Komatsu decided to suspend our shipments to Russia against the background of the confusion of its supply chain and uncertain financial and economic conditions. At present, Komatsu has suspended the shipments and production at its manufacturing subsidiary in Russia," the company added.
Company’s investments into the plant in Yaroslavl totaled $150 mln.
The Komatsu’s plant producing excavators, loaders and dump trucks in Yaroslavl will continue operations in the region, deputy prime minister of the regional government Maxim Avdeev said in his Telegram channel.
"I elaborated the situation particularly. Indeed, the production facility experiences difficulties with the logistics of supplies in the recent environment; nothing new. The plant minimized production because of that - it immediately warned about it. At the same time, the management of the plant confirmed that its operations continue," Avdeev said.
Downsizing is not planned at the plant, the official said. "Employees will focus on training and qualification improvement processes," he added.