Manufacturers call a halt in Russia

By Mike Hayes07 March 2022

Construction equipment manufacturers are joining the surge of Western companies winding down their operations in Russia, following its decision to invade neighbouring Ukraine.

Hitachi Construction Machinery, Komatsu and JCB have all announced decisions to suspend operations in the country, for the time being.

Hitachi Construction Machinery said it is winding down, but will continue to monitor developments in Russia and Ukraine, in the hope of a peaceful resolution.

In its statement, Hitachi said, “Our highest priority is on the safety of our stakeholders, including our group employees and their families, customers, dealers, and supply chain partners.

“Hitachi Construction Machinery has made decisions to gradually stop production at Hitachi Construction Machinery Eurasia LLC, its regional headquarters responsible for manufacturing and sales in Russia and the CIS, and halt exports from Japan to Russia until further notice, because of the potential risks associated with the business.

“We are committed to making the appropriate decisions as possible based on collection of information and close communication with our bases worldwide.”

Pressure grows on Russia

Komatsu said it was suspending shipments to Russia because of “the current supply chain disruption and the uncertainty of the financial and economic situation.”

The company has set up an emergency task force, headed by its President and CEO Hiroyuki Ogawa, to gather information and discuss any future measures.

The company said, “Komatsu is deeply concerned about the current situation in Ukraine and is closely monitoring developments. The company sincerely hopes that the situation is settled peacefully as soon as possible.”

Earlier last week, JCB said it had “paused all operations [in Russia], including the export of machines and spare parts.”

For more information on the unfolding situation in Russia and Ukraine, visit our rolling news story here.

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