HomeLatestChinese automobile manufacturers closing showrooms in Russia Kommersant

Chinese automobile manufacturers closing showrooms in Russia Kommersant

Over-expansion and weak demand have reportedly pressured sellers to close or rebrand many shops

Chinese automobile manufacturers have sharply lowered their showroom community in Russia after a number of years of fast growth, with a whole lot of retailers closed or rebranded amid low gross sales and better prices, Kommersant has reported.

In 2025, 643 showrooms promoting Chinese passenger automobiles and lightweight business automobiles had been shut in Russia, in line with estimates by Gazprombank Autoleasing and trade outlet AvtoBusinessReview cited by the newspaper on Wednesday. The determine is 1.4 occasions increased than in 2024. Over the identical interval, 459 new dealerships had been opened – 3 times fewer than a 12 months earlier.

As a outcome, the overall variety of Chinese-brand gross sales factors in Russia fell by 7% final 12 months to about 2,600, and their share of all automobile showrooms slipped from 67% to 64%, Kommersant wrote.

Gazprombank Autoleasing govt Aleksandr Kornev advised the paper that roughly one in 4 retailers promoting Chinese automobiles in 2025 was both closed or transformed to a different model, with greater than 100 retailers selecting to work as a substitute with new Russian manufacturers utilizing regionally assembled Chinese fashions.

The Russian Auto Dealers Association described the wave of closures as a correction after “too fast” development in earlier years, when many Chinese manufacturers “entered the market actively, opening a large number of showrooms, sometimes without understanding real demand and the economics of the dealer business.”

Chinese and home Russian manufacturers have dominated gross sales lately, filling the hole left by Western and Japanese automakers that exited the market following sanctions and geopolitical tensions.

Overall, the variety of showrooms for all automobile manufacturers in Russia fell by 85 in 2025 to round 4,070.

Kornev stated low gross sales and excessive borrowing, rental, logistics, and staffing prices had prevented sellers from assembly their preliminary plans and held again community growth. Other trade figures stated that solely three Chinese manufacturers working as monobrand dealerships – Haval City, Chery, and Geely – had been promoting sufficient automobiles per outlet to remain comfortably above break even.

Experts quoted by Kommersant count on the tempo of closures to sluggish, however say additional rebranding of Chinese showrooms underneath new Russian names is prone to proceed.

(RT.com)

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