So claims Kommersant, who interviewed dealers and analysts on this subject. According to them, the reason that they can leave the Russian market is low sales that lead to a decrease in the profitability of salons and the termination of franchises. The Association “Russian Automobile Deilers” believe that “the departure of some brands is inevitable” against the backdrop of crowded warehouses, high lending rates and low consumer activity.
There are several applicants for the exit: OTING, KAIYI, SWM, Livan, VGV and MG. These stamps previously already fell into similar lists, but invariably denied plans to leave the market. For example, at the end of 2024 the Livan representative office stated that for them the yield of dealers is the main goal, and “the strategy for 2025 is based on it.” In SWM, which acts as a partner of the Kaliningrad “Autotor”, they also did not confirm leaving the market, but on the contrary, they talked about strengthening positions in the budget segment.
Kommersant writes that a number of Chinese brands now presented in Russia have low sales in terms of the salon, dealers’ incomes are low, and the lineup is unlimited. Sellers will probably refuse to extend contracts with Chinese brands that generate losses and “do not demonstrate economic efficiency”.
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“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 the market leaders in the Russian Federation,” the newspaper quoted the managing director of Alfa-Liding Group of Companies Maxim Agadzhanov. The Avilon, in turn, believes that the weak chances of survival at brands, the sales of which in three months do not exceed 60–70 cars.
Currently, several dozen cars per month are implemented by Forthing, VGV, MG, OTING, JMC and Livan. And at least one brand with which the contract was not extended has already left the Russian market – Skywell. It will probably be followed by others, mainly in the budget and medium -water segments, experts say.
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