Problems for Porsche: how the conflict in Ukraine affected the carmaker

Porsche suspends production in Leipzig because the conflict in Ukraine disrupts the supply chain.

Porsche will shut down production at its plant in Leipzig, Germany, due to supply chain problems caused by the conflict in Ukraine.

The factory was forced to suspend production from Wednesday afternoon until the end of next week, a Porsche spokesman said.

Porsche builds Macan and Panamera models at the factory.

At the brand’s Stuttgart-Zuffenhausen plant, which produces Taycan and 911 models, production will be maintained this week, Porsche said.

“Other steps will be taken in an orderly manner,” Porsche said. “In the coming days and weeks, we will continually re-evaluate the situation. The degree of impact on our business activities is continuously determined by experts in a working group. ”

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Porsche is preparing for production problems

Porsche, along with Volkswagen Group VW and Skoda, is sourcing from western Ukraine, according to industry sources. BMW also uses wire harnesses made in Ukraine. The supply was interrupted by the Russian invasion of Ukraine.

“The Volkswagen Group is analyzing the situation in Ukraine with great concern and dismay,” Porsche said.

The one-week conflict has already led to serious disruptions in the European car industry, from supply chain problems to supply shutdowns and production shutdowns.

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BMW has said it is halting production at its factories in Germany and other European countries due to supply disruptions.

VW has warned that it may have to shut down production at its Wolfsburg plant in the week of March 14 as the supply chain crisis continues.

Car manufacturers, including Jaguar Land Rover and Aston Martin, have stopped deliveries of vehicles to Russia as sanctions create trade barriers and Ford has suspended Russian operations following the country’s invasion of Ukraine.

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