Analysts say the SUV market is the country’s largest, with annual sales expected to jump an estimated 30%-35% in coming years and even higher in the premium segment.
The German auto maker is negotiating with the government on the joint assembly of up to 50,000 cars annually at partner Avtotor’s Kaliningrad plant. The project includes local tie-ups with suppliers Magna...
Two factors pushing sales are deferred demand and average age of a car, which generally exceeds 10 years. "The Russian middle class is growing, with nine of the 10 best-selling cars in the country being...
Russian demand for upscale cars has been stable; sales of premium brands in the country not only declined less than other market segments during the 2008-2009 global recession but also recovered more quickly.
The manufacturing complex is expected to comprise 21 new plants, six of which will producea cars while the remaining 15 will specialize in auto parts. GM, BMW and key suppliers are viewed as potential partners.
The Russian government hopes the foreign investors will shore up AvtoVAZ and maintain Lada production, although the auto maker has halted production of its iconic but slow-selling Lada 7 model.