Covid-19: update on the activities of the Carraro Group

With regards to contingencies arising from the global spread of the Covid-19 virus, the governments of the countries in which we operate have taken, in the past few hours, the decision to temporarily suspend on their territories all activities not strictly related to basic and essential goods.

Due to this, starting from 23 March the Carraro Group will also stop some of its production sites.

More specifically, the Italian plants in Campodarsego (Padua) and Maniago (Pordenone) will shut down until 3 April, while those in Carraro India (Pune), Carraro Argentina (Buenos Aires) and Carraro Brasil (Caxias do Sul) will stop until 31 March.

However, the Carraro Agritalia plant (Rovigo), specialised in tractor production; the Driveservice's spare parts distribution centre (Poggiofiorito, Chieti); and Carraro China (Qingdao), which has fully recovered functionality after a short period of closure in February, will remain active.

In the meantime, offices not strictly connected to production but dealing with administrative, financial, legal, commercial and operational matters will maintain business continuity through smart working and partial staffing.

Material acceptance and shipping services will continue in all Italian plants, to ensure supply to the agricultural sector chain, as required by Art.1, section F, of the latest Italian Prime Ministerial Decree.

With the only exception of already assembled shipments of material, any other delivery of ordered products is therefore suspended, and the entire production schedule will suffer a delay equal to at least the entire duration of the closure.

For the same reasons, collection of products and components from our suppliers will also be reduced. However, we ask suppliers who are not affected by similar restrictions to continue production in accordance with the delivery plans.

We are aware of the impact that this measure will have on our companies and the heavy inconvenience it will cause to commercial partners and the entire supply chain. However - we are equally aware that - in this moment of exceptional difficulty - the main priority is protecting the life and health of our workers, their families and our communities.

This being a global force majeure event - we cannot guarantee timely fulfilment of the obligations undertaken with our customers and suppliers, to whom we nevertheless ask for understanding, collaboration and solidarity.

We will keep on promptly notifying customers and suppliers about any development of the situation, and let us assure you that we are making every effort to ensure business continuity with a long-term vision.

Should you have any questions or require any further information or clarification, please do not hesitate to get in touch with your usual contacts.

Alberto Negri
Chief Executive Officer, Carraro SpA

Last update: 26 March 2020