Chinese car brands are leaving Russia: why 60% of the market is at risk in 2025

26 March 2025 12:55

In 2025, the Russian car market may lose dozens of Chinese car brands, which currently occupy 60% of the market. This was stated by the head of the Russian Automobile Dealers Association, Alexei Podshchekoldin, in a commentary to The Moscow Times, "Komersant Ukrainian" reports

Currently, more than 100 brands are represented in the primary and secondary markets in Russia, of which 60% are Chinese, 30% are Russian, and 5-6% are brands that officially left the country after 2022.

According to Podshchekoldin, many Chinese manufacturers have failed to establish a network of service centers and quickly provide access to spare parts. This undermines customer confidence, which leads to a decline in sales and forces companies to wind down their operations in Russia.

“If a brand cannot guarantee repairs and support, trust in it falls. In 2025, there will be significantly fewer Chinese brands in Russia,” he said.

Prior to that, representatives of dealerships warned about the withdrawal of some Chinese car brands from Russia. According to them, it is primarily about Chinese brands that have a minimal customer base, such as Livan, Kaiyi, SWM, Foton and others.

Who will stay and who will go

Only a few Chinese manufacturers have adapted to Russian conditions by setting up local production and a service network. Among them:

  • Changan
  • Chery
  • Geely
  • Haval.

These brands have assembly lines in Russia and access to spare parts, which gives them an advantage. Meanwhile, lesser-known brands such as Livan, Kaiyi, SWM and Foton, with a minimal customer base, are likely to leave the market. Dealers had warned about this even earlier, pointing to an oversupply of similar models and a drop in sales.

Problems of Chinese cars in Russia

A 2024 study conducted in 26 regions of Russia with the participation of 17 Chinese brands showed that Chinese cars rust quickly – within two years of operation in local conditions. By comparison, European brands that left the Russian Federation lasted up to 22 years. This difference in quality, along with logistical difficulties and lack of service, scares off buyers.

The share of Chinese brands in the new car market in Russia increased to 68% in 2024, but in December, experts predicted that some brands would leave in 2025 due to low demand and oversupply.

Why Chinese brands have become dominant

After the start of Russia’s full-scale war against Ukraine in 2022, international automakers (Toyota, Volkswagen, Ford, etc.) left Russia, closing factories and stopping deliveries.

Chinese companies filled this niche by importing cars and quickly capturing 60-68% of the market. However, most of them did not localize production, which is now turning against them.

What awaits the Russian car market in 2025

At the moment, more than 100 car brands are represented on the primary and secondary markets in Russia. Approximately 60% of them are Chinese, about 30% are Russian, and 5-6% are those that have officially left Russia, and this proportion may remain until the end of 2025.

Experts predict that the share of Chinese brands may fall below 60% if problems with service and quality are not resolved.

Russian brands (30% of the market) and the remaining European brands (5-6%) will remain competitors, but without significant growth.

Podshchekoldin believes that the proportion will remain the same until the end of 2025 only if the leaders (Chery, Geely) hold their positions.

Остафійчук Ярослав
Editor

Reading now