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Volkswagen suspends $ 1.4 billion investment in Turkey

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Description video:
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Volkswagen suspends $ 1.4 billion investment in Turkey

Volkswagen suspends planned $ 1.4 billion investment in Turkey due to the country’s military invasion of Syria.

The world’s largest car manufacturer, which operates 122 factories around the world, is ready to make the final decision on a plant planned for construction in the western province of Manisa in Turkey..

«The decision on the new plant was postponed by the board of directors of Volkswagen AG, the company said in a statement. – We are closely monitoring the situation and are worried about what is happening there».

Volkswagen suspends $ 1.4 billion investment in Turkey

Reportedly, the plant, worth 1.3 billion euros, is planned to produce Volkswagen Passat and Skoda Superb. The Volkswagen Group already has one plant in Turkey that produces commercial vehicles for its subsidiary MAN..

Last week, Turkey launched an invasion of northern Syria controlled by the Kurds, an ethnic minority long-aligned with the United States that has played an important role in the fight against ISIS (banned from Russia).

German Chancellor Angela Merkel asked Turkish President Recep Tayyip Erdogan to stop the offensive, citing the risk of serious humanitarian consequences and the revival of ISIS (banned on the territory of the Russian Federation).

The German government also joined France, Norway, Finland and the Netherlands in suspending military sales to Turkey..

President Donald Trump, who has been accused of clearing the way for a Turkish invasion by ordering the withdrawal of American troops from northern Syria, announced new sanctions against Turkish defense, interior and energy ministers on Monday. Trump also said the US would raise tariffs on steel exports from Turkey by up to 50% and "immediately" will end trade negotiations with Ankara.