June Sales Skid; Russia Full-Year Forecast Cut Again

Russian new-vehicle sales plunged 17.3% in June to 199,398 units and the industry, fearing it has yet to touch bottom, cuts its full-year sales forecast.

The Association of European Businesses Automobile Manufacturers Committee says the latest result left the 6-month total down 7.6% to 1,229,839 units.

Committee Chairman Joerg Schreiber confirms the Russian market is continuing its downward trend, at an accelerating pace.

“In the opinion of AMC member companies, the market weakness has not reached its bottom yet,” Schreiber says in a statement. “Sales volume in the second half of 2014 is expected to reach a level of 1.2 million units, equivalent to a 16% reduction compared with the same 6-month period in 2013.

“In view of the recent trend, the AEB is adjusting its 2014 full-year forecast for the Russian market to 2.45 million units, down 335,000 units or 12% from the market result in 2013.”

Lada remained the sales leader in June despite falling 19% to 30,114 units, ahead of Kia, dipping 3% to 17,023 and Hyundai, down 1% to 16,754.

After six months, Lada was down 15% from like-2013 to 192,808 units, well clear of Renault, slipping 8% to 96,421 and Kia, off 1% to 93,973.

Chevrolet, in eighth place in June, dived 47% to 7,891 deliveries for a 6-month total down 19% to 65,292.

Ford also saw a sales plunge, dropping 53% for the month to 4,520 units and a half-year total tumbling 39% to 31,318.

Driven by Lada demand, the AvtoVAZ-Renault-Nissan grouping continued to dominate the market with June sales falling 9.8% year-on-year to 59,268 units for a 6-month total off 5.9% to 375,946.

The Volkswagen Group group lost more ground as June sales skidded 20.1% to 22,883 units for a 6-month total slumping 8.8% to 134,877.

The General Motors grouping of Opel, Chevrolet and Cadillac saw sales dive 41.8% in June to 12,490 units for a half-year total backsliding 17.5% to 99,513.