American manufacturer exits Sollers joint venture for nominal fee but retains share buyback option.
Ford has confirmed its withdrawal from the Russian market through the sale of its 49 per cent share in a joint venture with Sollers for a nominal fee.
The share transfer is subject to a five-year buyback option. This would allow Ford to re-enter the joint venture “should the global situation change”, Ford said in a statement.
The news follows Ford’s suspension of its Russian businesses in March after Russia’s invasion of Ukraine.
The Ford Sollers joint venture, established in October 2011, produced models such as the soon to be discontinued Ford Fiesta and Ford Focus, as well as the Ford Transit, across three Russian factories.
Ford follows Mercedes-Benz – which also announced its exit from Russia today – in the latest round of withdrawals from the country.
Nissan announced the sale of its Russian business for a nominal fee in October – also holding a buyback option – while Toyota confirmed the permanent closure of its St Petersburg factory in September.
Volkswagen stated it would close its Nizhny Novgorod factory in July.
Renault sold its stake in Russian manufacturer Avotovaz in May, subject to a buyback clause. In the same month, Stellantis – comprising Alfa Romeo, Citroën, Fiat, Jeep, Opel, Peugeot and more – suspended Russian production.
Aston Martin, BMW, Ford, General Motors, Honda and Jaguar Land Rover have all halted sales in the country.