A Letterkenny car parts manufacturer has had to halt production temporarily as a result of Russia’s war against Ukraine.
Kirchhoff Automotive’s plant at Ramelton Road Letterkenny has been shuttered since Tuesday, with staff told that there is no work for them next week.
The Donegal plant specialises in car manufacturing components, but with the European car supply network incorporating major factories in Ukraine, there are critical logistical and supply chain problems. Automakers’ supply chain was already strained as a result of the pandemic.
Production at Kirchhoff Ireland has been disrupted as a result of the global supply shortage, and, at this point in time, it is not yet known when staff will be brought back again.
John Smyth, Managing Director told Donegal Daily: “Unfortunately the war in Ukraine is having a direct impact on our factory in Letterkenny and ultimately on my colleagues in our plant.”
He said the situation is ‘fluid’ and all efforts are being made to manage it as best as possible,
Mr Smyth said: “Ukraine is part of the European supply chain for the automotive industry. With the dreadful situation in Ukraine many companies in that country have not been able to meet demands from the original equipment manufacturer (OEM) customer for obvious reasons.
“These OEM’s i.e. BMW, Mercedes etc. cannot build a car if they are missing just one part. The supply chain is trying to relocate out of Ukraine but this takes some time.
“The downside is that the OEM’s cannot build any cars, and operating in a just-in-time (JIT manufacturing environment as we do, the OEM’s do not want or need any parts from us, therefore we have very little production.”