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The auto expert explained the difficulties of the appearance of new brands from China in Russia

Expert Kogan: some Chinese brands do not appear in Russia due to a number of reasons
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Photo: IZVESTIA/Eduard Kornienko
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The key factors in the emergence of new car brands from China in Russia are the recycling fee, which affects the price advantage of Chinese cars, as well as a drop in demand for cars in the Russian Federation and the small scale of the country's market against the background of China. This was stated by Andrey Kogan, founder of the All-China company, Chairman of the Committee for Work with China of the Association of Exporters and Importers.

According to the expert, the decisions of Chinese companies may also be influenced by changes in the Chinese system of state support for expansion into foreign markets.

"It is extremely difficult to predict the plans of Chinese automakers, and there are currently no formal restrictions, including sanctions, for entering the Russian market. Everything depends not on prohibitions, but on the economics of a particular way out," Rossiyskaya Gazeta quoted Kogan as saying on February 10.

Some Chinese car companies are focused exclusively on the domestic market. For example, the Wuling brand, which is popular in China, practically does not export, the specialist noted.

He added that Russian dealers are also wary of certain brands when it comes to serious marketing budgets, the development of service and spare parts warehouses.

Earlier, on January 23, Andrei Kogan said that a massive withdrawal of Chinese car brands from Russia, as in the case of Western ones, looks unlikely. For companies like Chery, Geely or Great Wall, the Russian market is not a temporary experiment, it has a steady demand and a clear logic of scaling.

All important news is on the Izvestia channel in the MAX messenger.

Переведено сервисом «Яндекс Переводчик»

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