31 March, 06:45 PM
German truck manufacturer halts production due to shortage of Ukrainian parts
In addition to halting operations of its plants in Munich, Germany, and Krakow, Poland, MAN furloughed 11,000 employees – all as a result of the war in Ukraine. The company’s supply chain relied on electrical wiring made in Ukrainian factories.
Three more MAN plants – including an engine factory in Nuremberg – have had their operations curtailed, according to Interfax-Ukraine.
“Suppliers of electrical wiring cannot keep producing it in Ukrainian factories, or are able to do is in a very limited capacity,” the company said.
“As a result, we could lose production for several weeks, severely hampering our output for the second quarter.”
MAN is currently looking for other suppliers to fill the gap, but it could take several months.
Earlier, Volkswagen and BMW had paused operations on some of their plants, due to disruptions of metal wire shipments from Ukraine.