Russia becomes top market for Chinese cars – Bloomberg
Chinese carmakers delivered more vehicles to Russia than anywhere else in the world during the first five months of this year as part of a major expansion in the country following the exodus of European, American, and Japanese marques, Bloomberg reported on Tuesday.
Car exports to Russia from January to May were almost double those delivered to Mexico, China’s next biggest auto sales market. Asian car manufacturers exported around 287,000 finished vehicles to Russia in the first five months of the year, while Mexico received a total of 159,000 cars in the same period, customs data released by the China Association of Automobile Manufacturers shows.
In 2022, China exported around 162,000 vehicles to Russia.
The top three Chinese brands in Russia were Chery, the country’s second-largest car exporter worldwide, Geely and Great Wall. These accounted for a third of all new car sales in the first half of the year, according to the Association of European Businesses.
Ukraine has designated Geely and Great Wall as “sponsors of war,” placing them on a list of more than two dozen companies that have continued to do business in Russia.
Some experts believe Chinese automakers risk facing pressure over their business in Russia, while others say they have been able to “fly under the radar” due to not being well known in the EU.
Meanwhile, Russian analytic agency Autostat revealed earlier this week that June sales had more than doubled compared to last year, as car sales in Russia are on course to recover from the impact of Western sanctions.
Economic restrictions and political pressure made it difficult for many automakers to continue operations in Russia last year. As a result, American, European and Japanese automakers either left the country or suspended deliveries of cars and components, halting local production indefinitely.
Chinese cars are expected to reach a 60% share of total Russian sales this year, according to dealer chain Autodom, as Asian brands are filling the void left by Western carmakers.
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