Amid a weakening, unstable ruble, General Motors will suspend production at its St. Petersburg, Russia plant from mid-March through mid-May 2015.
Automotive News reports the automaker will also raise prices in response to the currency challenge. Per Russian daily publication Kommersant, GM has already begun to do so, with models like the Opel Astra and Chevrolet Cruze — both built in St. Petersburg — seeing a 20 percent increase in pricing.
Meanwhile, Ford lowered expectations for its European business in 2015 as a result of the ruble, forecasting a loss wider than the $250 million the automaker thought it would lose this year.
Overall, sales in Russia are projected to fall to 1.89 million this year, down from 2.49 million in 2014. That said, most automakers see the 2015 figure as overly optimistic at best.
The post General Motors Suspends Russian Production Amid Weak Ruble appeared first on The Truth About Cars.
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