VERSIONS: روسيا اليوم NOTICIAS FREEVIDEO ИНОТВ RTД FIND US ON: YouTube Twitter
breakingnews
Go to main page   Business   News   New cars stuck in limbo as crisis begins to bite  
MORE ON THE STORY
21.07.2007, 02:53

Drivers stuck in Russian-Latvian border jams

Four-day traffic jams have become the norm at the Russian-Latvian border. As trade between the two countries increases, outdated infrastructure struggles to cope. However, new investment is promised.

Image from http://www.drom.ru 02.09.2008, 14:09

Moscow Automobile Salon is on public days

After being accessible to the media and pros for the past week, the Moscow International Automobile Salon is now open to the public. Cars from the Chinese Geely to German Porsche are now at the Crocus Expo.

13.10.2008, 06:40

Automakers shape for life in the slower lane

Russia's number two automaker GAZ says it will reverse its sliding market share, as buyers downsize in the credit crunch. The news comes as the head of luxury car manufacturer Audi reveals sales growth in Russia has collapsed.

31.10.2008, 11:56

Car sales crisis hits Russia

The global crisis has had a devastating impact on car sales in Russia and a huge fleet of car transporters is now stuck outside Moscow. The dealer the consignment is intended for is refusing to accept the vehicles saying there is no room to store 500 cars

08.12.2008, 16:44

Ford’s plant extends holiday as sales fall

Ford’s car plant in the Leningrad region will suspend production for nearly a month over the New Year’s period – giving workers an extended holiday as demand weakens.

New cars stuck in limbo as crisis begins to bite

Published: 30 October, 2008, 06:03

(6.5Mb) embed video

As the credit crisis spreads, car dealers are turning back deliveries of new vehicles. Hundreds of unsold cars line the road to Moscow as Renault Russia claims it has nowhere to put them. Truck drivers are threatening to block the road if the situation is

“The company has not provided anywhere for us to live – nothing. We live in our cabs like dogs in the kennel,” said one of the drivers.

So far no one, not Renault nor the Moscow or Tula governments, has lifted a finger to help. The truckers are surviving on money transfers from their wives.

At the end of their tether, they’ve signed a petition to Renault threatening to block the motorways around the capital if the situation isn't resolved within 48 hours.

Finally stung into action by media attention, Renault sales arm Avtoframos has responded but is making no promises.

“I don't see how we can help but tomorrow we'll send over a man from logistics to talk to them,” a spokesperson for the company told RT.

Car sales in Russia have fallen by more than 50% in October, leaving car lots full to bursting.

Just a few months ago, manufacturers couldn't keep up with demand.

With almost half of all cars in Russia bought on credit, the disappearance of these loans is having devastating effects on the auto industry.

As the global financial crisis spreads to the public, the list of industries affected is growing every day.

+2 (2 votes)
 
Back to top
next MORE NEWS
29.10.2008, 18:28

Russian oil producers cut capital expenditure while looking for taxation changes

Russian oil companies are cutting investment programs as oil price drops and credit streams dry up. To slow production fall they urge the state to cut export duties and reduce tax burden.

30.10.2008, 09:11

Russian stocks push higher on Thursday

Russia’s RTS and Micex exchanges have posted strong gains in Thursday trade in the wake of a further cut in the overnight funds rate in the United States, rebounding crude prices, and a strong performance in Asian trade.