Croatian company AD Plastik signs a contract worth 86 million kuna

June 24, 2022 – Croatian company AD Plastik has contracted a contract that will last nine years and cost 859 million kuna.

As Poslovni Dnevnik/Darko Bicak writes, the largest Croatian player in the production of automotive parts, AD Plastik Group, has entered into new agreements with the Stellantis Group for the European market, with expected revenues of 85.9 million euros over the projected duration of the project , which is nine years .

Stellantis NV is a multinational automobile manufacturing company founded only in 2021 on the basis of a cross-border merger in a 50-50 relationship between the Italian-American conglomerate Fiat Chrysler Automobiles (FCA) and the French group PSA. The company is headquartered in Amsterdam and last year posted an operating profit of 15.3 billion euros.

The core business of Stellantis is the design, development, production and sale of cars of its sixteen brands: Abarth, Alfa Romeo, Chrysler, Citroën, Dodge, DS, Fiat, Fiat Professional, Jeep, Lancia, Maserati, Mopar , Opel, Peugeot, Ram and Vauxhall.

At the time of the merger, Stellantis had approximately 300,000 employees and a presence in over 130 countries with production sites in 30 countries. This is a significant step forward for Croatian company AD Plastik, which has faced challenges due to the war in Ukraine and EU sanctions against Russia.

Namely, the Solin, Russia-based company has two factories, where it generated up to 27% of its total revenue. In 2021, the Group generated more than 305 million kuna in sales in Russia. There are no forecasts for 2022 due to the dire situation in Ukraine after the Russian invasion in February this year.

Their main customers in the Russian market were Renault and Volkswagen, which hold half of the market there. Both companies have suspended operations in Russia, a decision that was also reflected in Croatian company AD Plastik.

Marinko Dosen, Chairman of the Management Board of AD Plastik, recently pointed out that the closures are temporary, but also that it is difficult to predict the final impact on their activity in the Russian market, and that the Russian factories of AD Plastik are ready to continue production.

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