Global car production could drop to more than 5 million due to the Russia-Ukraine war. This is according to the forecast of the research agency S&P Global Mobility, confirming that the crisis has really affected the supply and distribution partners.
S&P Global Mobility also cut production figures for 2.6 million vehicles for 2022 and 2023, with the agency estimating 81.6 million units this year. Million and 88.5 million next year.
Both Russia and Ukraine have played an important role in the car market, especially for companies from Europe. The crisis of the two neighboring countries not only affects the market, but also the shortage of raw materials and energy, especially for the production of electric vehicles.
Rising oil prices, as well as a series of shutdowns of Russian factories, put pressure on the Putin administration over the invasion of Ukraine. Made the automotive sector difficult to recover.
In recent years, the automotive sector has already been affected by the Kovid-19, with many Chinese factories closing, especially in Shenzhen and Changchun. Toyota Motor Corp, Volkswagen AG and Tesla Inc. Efforts to restore its production chain, but not as smooth as before.