Vehicle manufacturer Volvo says it has suspended a project with a Russian company to build an armoured combat vehicle due to the ongoing crisis in Ukraine, news agency AFP reports.
Renault Trucks Defense, which is owned by Volvo, cancelled its collaboration with Russia’s state-owned Uralvagonzavod on Monday.
The military vehicle, named Atom, would use a Volvo motor and require approval from the Swedish government. Fears that the government would nix the deal lead to the project being reconsidered, AFP reports.
“As we see many uncertain factors around a possible collaboration, we have suspended our cooperation agreement until further notice,” Volvo spokesperson Karin Wik told the news agency, without providing more details.
Ever since Moscow’s annexation of Crmiea from Ukraine, western nations like Sweden have grown increasingly nervous about Russia’s military prowess. EU sanctions triggered by the takeover have also complicated business dealings with Russia.
Source: Radio Sweden
http://sverigesradio.se/sida/artikel.aspx?programid=2054&artikel=5830995