Car sales in Russia drop by a quarter, further decline expected amid sanctions
Pravda Ukraine
Sales of new passenger cars in Russia dropped by 24.9% on a year-on-year basis in February, the first drop in monthly sales since April 2023.
Source: Reuters, citing Russian analytical agency Autostat
Details: Until February, sales had been growing for 22 consecutive months, recovering from the downturn in 2022 caused by the war against Ukraine and the withdrawal of Western carmakers like Renault and Volkswagen.
Growth has started to slow since the end of last year, and Autostat forecasts a 10–20% fall in the Russian car market in 2025. A 15% decline is expected due to high interest rates and sanctions.
Chinese carmakers have significantly expanded their presence in the Russian market, accounting for more than half of sales compared to less than 10% before the war.
Chinese brands dominate the top 10 in sales, except for the undisputed leader, Russia’s largest carmaker Avtovaz, which sold 24,573 vehicles in February, down 14.3% year-on-year.
Background: The Chinese company Chery started assembling cars in Russia at three plants that had been vacated by Western competitors, including Volkswagen and Mercedes, to sell on the Russian market.
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