Russian court freezes German carmaker Volkswagen assets in Russia, court documents show, after lawsuit by Russian auto manufacturer GAZ for breach of contract
A Russian court has frozen all Volkswagen assets in Russia, court documents seen by Reuters showed.
Volkswagen was one of a string of foreign carmakers that suspended operations in Russia after western countries imposed unprecedented sanctions on Moscow over the conflict in Ukraine. Russian auto manufacturer GAZ, which was contracted to produce Volkswagen vehicles at its factory in Nizhny Novgorod, had sued the German carmaker for breach of contract after Volkswagen terminated the agreement in August. Volkswagen is attempting to sell its flagship Russian factory in Kaluga, south of Moscow. The plant, which has a capacity of 225,000 vehicles a year, has been furloughed since March 2022.
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