VW suspends production in Algeria amid political crisis

BERLIN (dpa)- German carmaker Volkswagen has suspended production at its joint venture in Algeria as a result of the political crisis gripping the North African country, the company told dpa on Friday.
VW has also suspended deliveries to its Algerian partner Sovac.

The move comes against the backdrop of a corruption investigation by the Algerian judiciary, which includes Sovac's managing director Mourad Oulmi.
VW said, however, it was not aware of any probes into its employees.
The carmaker has been operating its plant in Algeria as part of a joint venture in the country since 2016. About 50,000 vehicles were assembled at the site last year.
Algeria has seen mass protests against its political leadership in recent months, as well as a recent wave of mass arrests of activists and members of the nation's business elite.
Thursday's election for a new president was also marred by mass protests and riots, with demonstrators accusing Algeria's elite and the nation's military of manipulating the election.
VW also now expects to take more time to reach a decision on a controversial new plant in Turkey, with company sources telling dpa that a final assessment of the investment will not be made until about the middle of the first quarter of 2020 at the earliest.
The carmaker said in October that it had decided to delay a decision on building the new plant near the western Turkish city of Izmir as a result of Ankara's military offensive in northern Syria.

Saturday, December 14th 2019

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