Ford to halt production at Russian plant

PanARMENIAN.Net - U.S.-Russian joint venture Ford Sollers will halt production at its plant in near St. Petersburg from December 17 until the end of 2012 and will resume its operations on January 9 after holidays, a company spokesman said, according to RIA Novosti.

The plant in Vsevolozhsk in the Leningrad region produces Ford Focus and Mondeo models. The plant, which was opened in summer 2002, employs about 2,700 workers.

The company periodically suspended work at the Vsevolozhsk plant several times in November. The assembly of Ford Mondeo sedans was put on hold a month ago reportedly due to shortage of components.

"The decision to halt production has been made in line with a comprehensive plan to change component delivery channels," the spokesman said.

Some sources indicate, though, that the suspension may reflect the dwindling demand for Ford sedans on the Russian market.

While the plant’s capacity is 125,000 cars a year, it produced about 99,000 vehicles in 2011 and was expected to make up to 119,000 this year.