Bosch closes its production base in Ukraine and continues to evaluate the "situation in Russia and Ukraine"

According to foreign media reports, the situation in Russia and Ukraine escalated and Bosch closed its production base in Ukraine. Bosch confirmed in an email that "local production has been suspended and our customers have been notified."

"We are preparing for what may happen and are constantly assessing the very unstable situation so that necessary measures can be taken quickly," Bosch said in a statement. " Bosch's team of experts is in close contact with suppliers, upstream suppliers and customers.

Bosch is currently "closely" reviewing the impact of the sanctions, Bosch said, "in this context, we have suspended some shipments to Russia, the Ukrainian factory does not accept new orders, is still fulfilling existing orders. We strictly abide by laws and regulations. "

"We expect our business in Ukraine and other regions to be very seriously affected," Bosch said. " Bosch has a production base in Ukraine that repairs engine starters for the car aftermarket and does not supply directly to carmakers. According to preliminary data, Bosch's sales in Ukraine in 2021 are about 170 million euros ($188 million).

Bosch mainly produces consumer goods, heating technology and auto parts in Russia, mainly for the local market. Bosch employs about 3500 people in Russia and has sales of 1.2 billion euros ($1.3 billion) in 2021, according to preliminary data.

Bosch also said in a statement that it was "donating" to the German Red Cross to support humanitarian assistance in Ukraine and was studying other local relief efforts. Bosch Group's Hungarian subsidiary will begin donating equipment and supplies to non-governmental organizations to help people fleeing from Ukraine to Hungary.

Bosch stressed that the local management team has regular contact with employees and does their best for the safety of local employees and their families. Bosch also hopes to provide support and help to the people in Ukraine who are experiencing suffering.

Bosch worked with partners to provide food, water and fuel to local employees and paid their salaries in March. Bosch also said, "We also provide legal and psychological support to employees and their families, and have opened Bosch buildings to some refugees in places such as Poland and Romania."

Bosch has warned that shortages of semiconductors and rising raw material costs will continue to affect car production this year. As a result, Bosch plans to spend 400m ($457 million) to expand its chip facilities in Germany and Malaysia to help ease chip shortages. "but there is still a lot of uncertainty," Bosch chief executive Stefan Hartung said in a telephone interview in early February.

Bosch topped the list of the world's top 100 auto parts suppliers by European Automotive News in 2021, with parts sales of $46.52 billion to global automakers in 2020.