Renault restarts production at Moscow plant

PARIS: French carmaker Renault resumed production at its Moscow plant today, says a company spokesman.

Renault suspended operations at its car assembly plant in Moscow in late February, saying at the time it was due to a "forced change in existing logistic routes".

The French company has lost nearly 30% of its market value in the wake of Russia’s invasion of Ukraine and ensuing economic sanctions.

Russia is Renault’s second-biggest market, and it’s paying a heavy price for a US$1 billion deal sealed in 2007 with a top ally of Russian president Vladimir Putin.

Renault’s majority control of AvtoVaz, the Soviet-era maker of Ladas, and reliance on Russia for about 12% of its revenue are now matters of investor concern. — Reuters/Bloomberg