Chinese cars filling void left by Western brands in Russia – Bloomberg
Chinese car brands have embarked on a major expansion in Russia amid the exodus of European, American, and Japanese brands, Bloomberg reported on Thursday.
In 2022, Chinese automakers Geely, Chery, and Great Wall Motors took a 17% share of Russia’s car market, filling the void left by the world’s largest automobile manufacturers, such as Volkswagen, Nissan, Renault, and Toyota, which pulled out of the country last year.
Economic sanctions and political pressure made it difficult for many automakers to continue operations in Russia last year. In particular, logistical disruptions arose once imports of cars and spare parts to the country were stopped.
French automaker Renault suffered one of the biggest blows among businesses that were forced to leave Russia, the outlet said. The company lost $2.4 billion in assets as a result of pulling out of its second-largest market.
Some experts believe that Chinese automakers also risk facing pressure over their business in Russia, while others say that they have been able to “fly under the radar” due to not being well known in Europe, Bloomberg said.
According to the Russian analytical agency Autostat, the four best-selling vehicles last year were Chinese-made.
Russian sales of Chery, the second-largest Chinese car exporter worldwide, averaged 4,475 vehicles per month last year. Great Wall was second with a monthly average of 2,940 cars sold. Geely, which sells models such as Coolray and Atlas, was third with 2,035, according to Autostat.
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