Up to ten Chinese car brands can leave the Russian market

Excess proposals, low consumer activity and acute competition in the car market threaten to reduce the number of Chinese brands present in the Russian Federation. According to market participants, this year the business can turn up to ten marks that do not provide dealers of sufficient profitability. Citizens are increasingly preferred more well -known brands to avoid problems with the service.

Up to ten Chinese car brands can leave the Russian market this year, dealers and analysts surveyed by Kommersant. The main reason is low sales, which leads to a decrease in the profitability of salons and the termination of franchises. “The number of Chinese brands in the stream that rushed to the market turned out to be higher than its possibilities,” the Russian automobile dealers association believes. There they note that in a situation of overstraging warehouses, high lending rates and low consumer activity, “the departure of some brands is inevitable”. As the main applicants, the interlocutors “Kommersant” are called, in particular, Oting, Kaiyi, SWM, Livan, VGV and MG.

According to Gazprombank Autolizing, in the first quarter of 2025, 213 showrooms of Chinese brands were closed, which is 3.2 times more than a year earlier.

The number of discoveries was halved – to 124. The total number of salons of Chinese brands has decreased by 87, to 2.7 thousand. “The compression of the business of stamps such as Bestune (FAW) is especially noticeable – the loss of 26 showrooms and KAIYI (20 locations),” added to Gazprombank Autolizing, clarifying that the reason for the negative dynamics – the reason for the negative dynamics. Not the most liquid model range, low dealer incomes in each transaction and low sales in terms of the salon.

Deilers will probably refuse to extend contracts with Chinese brands that generate losses, said Maxim Kadakov, editor -in -chief of the magazine “Behind”. Director of the Department of New Cars of Rolf, Nikolai Ivanov, echoes that dealers are increasingly deciding on the termination of franchises that do not demonstrate economic efficiency. For distributors, explains the top manager, this entails a reduction in the commodity chain, including its final link-the retail representation. “As a result, the manufacturer loses the infrastructure base necessary for the market,” he summarizes. Avtostat Executive Director Sergei Udalov notes that now companies are in no hurry to take part in tenders for the dealership of Chinese brands, while several participants showed interest earlier. “That is, no one wants to open new dealerships or take extra cars at the warehouse,” the expert says.

The Managing Director of Alfa Leasing Group of Companies Maxim Agadzhanov clarifies that only the content of the service costs the dealer of more than 860 thousand rubles. per month.

If you sell no more than 20 cars in six months, as it was with the Kaiyi, Skywell, SWM, Haima and VGV distributors, and even more so one month like Ora, it will be difficult to compete with market leaders in the Russian Federation, the top manager is sure.

“Judging by the statistics of sales for the first quarter of 2025, the question » Why are you here?  » Call many brands. For example, Forthing, VGV, MG, OTING, JMC, Livan, whose sales per month in the country do not exceed several dozen cars, ”adds the CEO of Avtospecentr Group of Companies Andrei Terlyukevich. Kommersant sources in the market recall that at least one brand from the PRC has already left the Russian market – Skywell, with which the contract was not extended.

Deputy General Director for Sales of New Avilon Cars Renat Paepteyev is sure that the weak chances of survival have brands, the sales of which in three months do not exceed 60–70 new cars. According to Mr. Ivanov, the departure of several brands from the market, mainly in the budget and mid -water segments, is not excluded. “In some cases, we are talking about the specific issuance at the level of five to seven cars per month for the dealer center, which does not cover the basic costs and leads to financial losses from the dealer,” he says. The Kommersant source in the market notes that at the risk zone of the brand, whose sales in the passenger segment do not reach 1 thousand pieces per year.

According to experts, to gain a foothold on the market is more likely to have well -known brands with a developed dealer network. Citizens are increasingly choosing them in order to avoid problems with the service than cars of less famous brands, albeit at a favorable price, analysts say. However, some brands may not immediately leave the Russian Federation, despite low sales. “Preservation of the image, justification of investments, avoiding responsibility to auto -dealers or hope for growth in the future – there are many reasons to formally remain,” said Andrey Terlukevich.

Natalia Miroshnichenko