It's Nice, but It's No Lada: Chinese Brands Take Over Russian Car Market

Russia’s invasion of Ukraine has set many wheels in motion, mainly to do with sanctions and efforts to cut the nation off from the global banking and logistics network. Though the Russian economy hasn’t completely collapsed, significant cracks are showing, leading the country to turn to China for support.

New cars are just one of the ways Chinese companies are jumping into the Russian market. While that’s likely frustrating for the European Union and the United States, it gives car buyers in the country the option to purchase a vehicle with more than the barest of barebones features.

Russian car buyers now see Chinese brands like Geely and Haval instead of the Japanese and European nameplates they’re used to. Automotive News reported that Chinese autos make up almost 40 percent of the market in Russia, a significant improvement from the ten percent share they enjoyed a year ago.

Though they’re better than the cars Russians would have otherwise, many buyers have found that the Chinese brands aren’t on the same level as the vehicles from western automakers. Even so, the propaganda machine is in full swing, as former president Dmitry Medvedev recently took a trip to China and praised the country’s cars as being on par with Mercedes-Benz.

Chinese brands are growing in the Russian auto market, but some domestic companies appear to be holding onto life. Last year, Avtovaz, the company responsible for building Ladas, revived the boxy, old-school Niva Legend with what is promised would be 95 percent domestically-manufactured parts. The company did not, however, give any indication that the funky three-door cars would offer creature comforts or safety equipment beyond a steering wheel and three pedals. 

[Image: Volha-Hanna Kanashyts via Shutterstock]

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