Russia war could further escalate auto prices and shortages

Posted at 6:58 AM, Apr 04, 2022
and last updated 2022-04-04 06:58:04-04

DETROIT (AP) — Russia’s devastating war on Ukraine is bringing a whole set of new problems to the global auto industry, just as it was starting to recover from the pandemic and computer chip shortages.

In the short term, the invasion has choked the supply of electrical wiring made in Ukraine, forcing German automakers to temporarily close factories while they wait for the critical part.

Long term, Russian supplies of precious metals, aluminum and pig iron, a primary ingredient in steel, could be cut off, either by Moscow or sanctions from other countries.