About past, present and future of Ukraine

Search mobile

Main Business In Russia, all Volkswagen assets were arrested so that the concern would not leave the market

Business

In Russia, all Volkswagen assets were arrested so that the concern would not leave the market

341
In Russia, all Volkswagen assets were arrested so that the concern would not leave the market

Share this article


Russia is trying administrative measures to stop the flight of Western brands from the country.

In Russia, all local assets of the German automobile concern Volkswagen have been arrested at the suit of the GAZ automobile plant. The Arbitration Court of the Nizhny Novgorod Region made the corresponding decision.

As follows from the court decision, the arrest was imposed as an "interim measure" in the framework of a lawsuit from a Russian car factory demanding to recover 15.6 billion rubles in damages from the German automaker.

GAZ claims that Volkswagen intends to leave the Russian market soon and therefore terminated the agreement on car assembly in Nizhny Novgorod. The Russian enterprise fears that the Germans will sell their assets to third parties and, therefore will not be able to compensate GAZ for its losses.

The court agreed with the arguments of GAZ and arrested all Russian assets of the Volkswagen Group, except for cash. The court also banned the Volkswagen Group Rus company from liquidating, reorganizing, and other registration actions.

It should be noted that the agreement on the assembly of Volkswagen cars in Nizhny Novgorod was concluded in 2011, and later it was extended until the end of 2025. But after Russia's full-scale invasion of Ukraine, Volkswagen stopped assembly at a Russian plant and announced plans to leave the Russian market.


The Odessa Journal
more articles

Top article

The Ministry of Defense has signed a contract for the construction of a service center for repairing drones in Ukraine
War

The Ministry of Defense has signed a contract ...

Dmytro Kuleba: Ukraine and Croatia have agreed to use Croatian ports for exporting Ukrainian grain
Business

Dmytro Kuleba: Ukraine and Croatia have agree ...

New sanctions: Defence industry, political parties and individuals linked to oligarchs
Business

New sanctions: Defence industry, political pa ...

Volodymyr Zelensky: We are preparing for the next Ramstein meeting, we expect solidly grounded decisions to meet the prospects on the battlefield
War

Volodymyr Zelensky: We are preparing for the ...