The number of closures of Chinese car dealerships in Russia increased by 2.4 times

In most cases, the closures occurred at the initiative of the dealers themselves, who could not make enough profits from the showrooms, the newspaper writes. However, there were also disagreements between dealers and distributors due to failure to meet shipping plans and delays in investments in showroom reformatting. The number of Chinese car dealerships that opened during the year fell to 964 points, or 1.5 times.

In turn, the total number of showrooms of Chinese dealers in Russia last year increased to 2.78 thousand, estimated Alexander Kornev, head of Gazprombank’s Autoleasing department for working with importers.

The total dealer network of all car brands in the country increased to 4.16 thousand showrooms, or 14.2%, writes Kommersant. Chinese showrooms take first place in terms of share in the total number of showrooms – 66.9%. The first place in terms of the size of the dealer network among the “Chinese” was occupied by Chery with 216 showrooms, the second and third places are occupied by Geely (206) and Changan (197).

The editor-in-chief of Za Rulem magazine, Maxim Kadakov, believes that “there are too many Chinese showrooms open and the market does not need them.” According to the expert, the negative dynamics may be due to the harsh conditions imposed by Chinese companies, and the main reason for closure is usually low sales due to high competition.