Komatsu’s shipments to Russia and their effect on businessPublished 19/4, 2022 at 09:07
Due to the ongoing situation in Ukraine, the disruption in the supply chain surrounding Komatsu has become extremely difficult, with the impact on the financial and economic situation remaining uncertain. In line with its crisis management policy, Komatsu has set up an emergency task force headed by its president and CEO, Hiroyuki Ogawa, which is gathering and analysing information as well as discussing future measures.
As announced on its website as of 4 March, 2022, Komatsu has decided to suspend shipments to Russia for the time being, due to the current supply chain disruption and the uncertainty of the financial and economic situation. Komatsu is deeply concerned about the current situation in Ukraine and is closely monitoring developments. Komatsu sincerely hopes that the situation will be settled peacefully as soon as possible.
Komatsu assumes that geographical sales in CIS (including Russia) will account for 8% of the company’s €18B total construction, mining and utility equipment business sales for the projected consolidated business results (announced on 28 October 2021 - Komatsu made no change to the projected consolidated business results for the current year, when it disclosed its nine month business results on 31 January, 2022.) for the fiscal year ending 31 March, 2022).
As of today, Komatsu anticipates that the impact will be minimal on the projected consolidated business results for the fiscal year ending 31 March, 2022. When Komatsu anticipates any considerable effects on business results as affected by future developments to the Ukrainian situation, it will disclose them.