War in Ukraine Putting European Carmakers in a Tight Spot

War in Ukraine Putting European Carmakers in a Tight Spot
Ola Kaellenius, chairman of Daimler AG attends the presentation of the new Mercedes-Benz S-Class at the Daimler production plant in Sindelfingen near Stuttgart, Germany, on Sept. 2, 2020. Ralph Orlowski/Reuters
Naveen Athrappully
Updated:

Russia’s invasion of Ukraine has further disrupted global supply chains with automakers facing challenges like shortages of components and rising material costs, leading to an overall decline in availability of cars in international markets.

European carmakers Mercedes-Benz and Audi have announced plans to scale down production at their plants due to supply disruption of auto parts from Ukraine, especially wire harnesses.