Posted 11/24/2023, 11:47:58 AM
Chinese cars fill gap in Russia as sanctions hit auto industry
- Chinese car sales in Russia boomed after Western automakers exited, but have now stabilized at around a 53% market share
- Russia became China's largest export market for cars, valued at $9.4 billion in Jan-Oct 2022
- Overall car sales and production in Russia are recovering but remain far below pre-invasion levels
- Growth is constrained by saturated demand, high interest rates limiting loans, and a weak ruble making imports expensive
- Avtovaz recently cut its 2023 Lada production forecast due to U.S. sanctions, showing the market remains unstable