GM writes off $657 million due to business termination in Russia in 2022

American automaker General Motors has estimated the cost of ending business in Russia in 2022 at $657 million. According to the company's financial statements, the amount includes the write-off of net investments and the transfer of accumulated losses from the transfer to profit, Interfax news agency writes. Recall that General Motors announced the final withdrawal from the Russian market due to US and international sanctions in April last year. Prior to that, on March 11th, "luxury cars" from the United States were banned from exporting to Russia.

After GM finished the local production in our country in 2015 amid the annexation of Crimea, the concern focused on the premium segment of the Russian market with the help of the Cadillac brand and American Chevrolet models. In the Russian market, brands were losing competition to more traditional European leaders in the premium car segment. At the same time, mass Chevrolet models were produced under GM license in Uzbekistan, but since March 9th, their deliveries to Russia have been also stopped.