Chinese automakers have captured more than half of Russia’s auto market in terms of sales as most of their Western peers fled the country following Moscow’s all-out invasion of Ukraine.
Chinese automaker Chery has started assembling cars in Russia for sale in the country at three factories vacated by Western rivals including Volkswagen and Mercedes. Five people with knowledge told Reuters about it.
Chinese automakers have captured more than half of Russia’s auto market in terms of sales as most of their Western counterparts fled the country following Moscow’s full-scale invasion of Ukraine in February 2022.
Currently, they are expanding their influence on the domestic production sector in Russia, confirming Beijing’s growing role in changing the industrial landscape and economy of the Russian Federation.
In addition to importing finished cars, Chery, which accounts for about a fifth of passenger car sales in Russia, also imports semi-finished cars and completes their assembly at three factories Russia.
China’s top auto exporter is likely betting on strong domestic demand as Russia’s domestic market faces limited production and unused capacity, sources said.
Earlier, in a written statement, Chery informed that it supplies passenger cars to the Russian market, however, it does not plan to build or buy factories in Russia.
Let’s recall that the assets of the South Korean automaker Hyundai were purchased from the Russian Federation by the company Art-Finance, registered in 2023.
In the past, the Danish brewing concern Carlsberg cut all ties with its Russian business and refused to enter into an agreement with the Russian government to delegitimize the seizure of assets of Russia.
Luxury car enthusiasts in Russia are switching to Chinese brands – media
New Correspondent.net on Telegram and WhatsApp. Subscribe to our channels Athletistic and WhatsApp
Source: korrespondent
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.