Curve to avert the risk of departing into Russia and Belarus Chery
In rank to circumvent the guideline of the Russian market indecision, Chery has made it clear for the Russian market the strategic migration arrange - Russia's nearby Belarus in the assembly and fabricate of drive vehicles, focused at the assembly in Belarus after the trade overseas to Russia.
According to local media reports of Russia, Belarus Chery projects originally planned in April this year, prior to finalizing the project are the main contents of automobile factory in Minsk, Belarus set up stamping, welding and painting lines, the entire process of China's Chery Automobile assembly.
Chery beside the commerce said that Chery has all the groundwork work to do a good job and is awaiting the acceptance of the Government of Belarus, the major commerce are preferential assesses and policies.
In item, because of the high-level alertness to the Government of Belarus, the venture quite indecisive prospects. Moreover, in harmony with the Russia and CIS nations noted a free trade accord, assemble Chery motor vehicles in Belarus, as long as the restricted goods produced of more than 50%, can be exported to Russia.
Russian professional, notified reporters Moscow University Roland, Chery tasks in Belarus with the form the implication of street open when this will not only strike the Russian Chery are a good way, and will have more assortment in the Chinese vehicle charges Russia surrounding the set up assembly plants in the Commonwealth of Independent States.
"Escape" from the Russian
At present, very demoralised, and the every part of Russian market.
Russian Industry Minister Viktor Khristenko said that Russia in 2009 the whole annals of the automobile commerce will face on the poorest year for vehicle sales is anticipated to down turn more than 60%. The Russian government in December last year when 40 per hundred anticipated to decrease. Downturn in the market in order that enterprises in the Russian capital the localized string of connections is nearly broken and vulnerable. Russian Volga vehicle plant's biggest vendor - British克姆拉达Corporation (who) has lately announced bankruptcy.
March 30, Russian Prime Minister Putin of Russia dedicated to the release of four foremost state-owned automobile vegetation gathering, Russian Deputy Prime Minister, applicable ministers, as well as the four foremost state-owned enterprises and Russia - the Volga, Gorky, Kamaz, Sollers's individual in ascribe of all present, the tremendous and unprecedented scale. Russian Prime Minister Vladimir Putin on Russia's biggest vehicle constructor AvtoVAZ administration of constructing businesses and employees that the business and other distinction is that the Volga automobile constructing business did not lay-offs, but this is a exorbitant score.
At the meeting on the long ago, the Russian government has decided to an additional 10 billion rubles of domestic commercial vehicle for government procurement program, enormous efforts. "Russian local enterprises enormous gaps in funding, the Russian Government's intention is very obvious, is to support local enterprises." Rowland told reporters, "and these companies are just the Chinese car rivals."
At present, all of the Russian government did not rescue package implemented, originally introduced last year has been planned for March 24 against the implementation of people buy 350,000 Russian rubles preferential loans for the following models, up to now has not happened .
"In Russia, the principles presented by the Government inside six months do not have to apply it are usual, localized government and bank anecdotes do not purchase the dangerous difficulty in Russia, if the preferential borrowings in June this year can not be conveyed out, the whole Russian Auto markets will face tremendous difficulties. "Roland said.
Russian administration in agreement with the proposition, the preceding two months, year-on-year down turn in the Russian automobile utilisation up to 40% after the March sales will fall 50%, in 2009 a decline in the general market will come to not less than 35% -40%.
Not only that, but the uncertainty of the Russian market still has further aggravated the beginning of the year begin to implement plans to stop in September of imported cars rose tariff policy has continued implementation of the current signs. Tariffs on imported cars is not only a blow to Chinese imports of cars, but also the main purpose is to combat a large influx of Japanese used cars in Russia. Data show that the first two months of this year, the Japanese used cars into Russia is almost stagnant. In addition, imported cars for the more stringent safety and environmental standards are brewing, the current public message is that Russia in 2010 to implement the European IV emission standards.
Russia is a high risk investment market has become an accepted fact, even by the Russian government welcomed the cross-border capital investment in Russia very carefully, especially the Japanese auto companies, for example, after the Toyota-owned factory in Russia only in 100 million U.S. dollars, which the world at large Toyota obvious contrast.
Policy to avert the indecision of Chery are one of the justifications he moved to Belarus, and new partnerships with the Russian co-operation does not productively TagAZ Chery in addition has to face.
Depressed because of market conditions, the two sides did not realize the original investment. At present, TagAZ serious issue of funding chain, according to Russian media reports, the plant has been owed the bank 6.0 billion Russian rubles southwest of the Russian foreign trade bank, as well as 6.5 billion rubles.
Because of currency shortages, the vegetation or even the matching supplier only, seller of "barter", bonds, allocations, apparatus, wares can be employed for settlement. Because of the deficiency of auto elements suppliers, TagAZ commence goods produced in February from the prevailing goods produced has not entirely recovered. Chery and give the method of assembly, TagAZ in addition forcing their own brand label of motor vehicle C-100, this motor vehicle fittings imported from Korea.
Chery insist not to give up the Russian market, with the person as saying "the Board will come out will be very difficult." Last year, Chery terminals in Russia of 1.2 million units sold this year, the same mission in Russia is the lowest bottom line. Chery is currently the focus of the work is firm confidence in the distributor in Russia, and in marketing efforts.
Roland believes that Chery assembled in Russia want to draw the lessons of the project, in the hands of the production control of Belarus. It is understood that the Chery projects in Belarus are of great importance to the Government, Belarus Deputy Prime Minister to personally intervene. "China's car prices have suffered setbacks in Russia, an important reason for this is that did not receive the support of the Russian government, and Toyota, GM and other multinational corporations are just the opposite."
Of course, the fundamental reason is the benefits, Belarus national production has only a few hundreds of passenger vehicles, passenger cars and annual sales reached nearly 25,000, that is to say Chery to enter Belarus would not impact on the formation of local brands, and will be added beneficial.
The industry believes that there is also different from the Russian government anxious to protect the local car manufacturers, Belarus began in 2006 to set up joint venture production of Iran's car, there should be no domestic car companies are lobbying to put pressure on the Government policies often cause automobile industry adjustment.
Belarus are a very significant colleague of Russia, which exactly engages the political and security of Russia, encompassing Belarus, the CIS nations and Russia have marked a free trade affirmation, except for certain products, the rudimentary trade tariff to zero. Roland said that Chery As for future tasks in Belarus, the key counts on the Government of Belarus and the Russian government commitment.
Specific to engine vehicles, Chery well renowned with the applicable persons in Belarus, notified reporters, Chery vegetation in Belarus is changeable in alignment to circumvent the principle of the Russian risk, in agreement with the country's two free trade affirmations, as long as the localized output of Chery in Belarus 50% , you can trade items the Russian.
From the sales of the first two months of this year, the Chinese car was almost completely annihilated in Russia, which also includes one of the growth in 2008 of the Great Wall and other Chinese car prices, from this perspective, Chery is a selection of Belarus was no choice but to force, but once this road of Belarus had a go, will give a great impetus to China's car prices example, in order to keep the Russian market, Chinese enterprises will be more selection in the assembly and manufacture of the Commonwealth of Independent States. - 21393
According to local media reports of Russia, Belarus Chery projects originally planned in April this year, prior to finalizing the project are the main contents of automobile factory in Minsk, Belarus set up stamping, welding and painting lines, the entire process of China's Chery Automobile assembly.
Chery beside the commerce said that Chery has all the groundwork work to do a good job and is awaiting the acceptance of the Government of Belarus, the major commerce are preferential assesses and policies.
In item, because of the high-level alertness to the Government of Belarus, the venture quite indecisive prospects. Moreover, in harmony with the Russia and CIS nations noted a free trade accord, assemble Chery motor vehicles in Belarus, as long as the restricted goods produced of more than 50%, can be exported to Russia.
Russian professional, notified reporters Moscow University Roland, Chery tasks in Belarus with the form the implication of street open when this will not only strike the Russian Chery are a good way, and will have more assortment in the Chinese vehicle charges Russia surrounding the set up assembly plants in the Commonwealth of Independent States.
"Escape" from the Russian
At present, very demoralised, and the every part of Russian market.
Russian Industry Minister Viktor Khristenko said that Russia in 2009 the whole annals of the automobile commerce will face on the poorest year for vehicle sales is anticipated to down turn more than 60%. The Russian government in December last year when 40 per hundred anticipated to decrease. Downturn in the market in order that enterprises in the Russian capital the localized string of connections is nearly broken and vulnerable. Russian Volga vehicle plant's biggest vendor - British克姆拉达Corporation (who) has lately announced bankruptcy.
March 30, Russian Prime Minister Putin of Russia dedicated to the release of four foremost state-owned automobile vegetation gathering, Russian Deputy Prime Minister, applicable ministers, as well as the four foremost state-owned enterprises and Russia - the Volga, Gorky, Kamaz, Sollers's individual in ascribe of all present, the tremendous and unprecedented scale. Russian Prime Minister Vladimir Putin on Russia's biggest vehicle constructor AvtoVAZ administration of constructing businesses and employees that the business and other distinction is that the Volga automobile constructing business did not lay-offs, but this is a exorbitant score.
At the meeting on the long ago, the Russian government has decided to an additional 10 billion rubles of domestic commercial vehicle for government procurement program, enormous efforts. "Russian local enterprises enormous gaps in funding, the Russian Government's intention is very obvious, is to support local enterprises." Rowland told reporters, "and these companies are just the Chinese car rivals."
At present, all of the Russian government did not rescue package implemented, originally introduced last year has been planned for March 24 against the implementation of people buy 350,000 Russian rubles preferential loans for the following models, up to now has not happened .
"In Russia, the principles presented by the Government inside six months do not have to apply it are usual, localized government and bank anecdotes do not purchase the dangerous difficulty in Russia, if the preferential borrowings in June this year can not be conveyed out, the whole Russian Auto markets will face tremendous difficulties. "Roland said.
Russian administration in agreement with the proposition, the preceding two months, year-on-year down turn in the Russian automobile utilisation up to 40% after the March sales will fall 50%, in 2009 a decline in the general market will come to not less than 35% -40%.
Not only that, but the uncertainty of the Russian market still has further aggravated the beginning of the year begin to implement plans to stop in September of imported cars rose tariff policy has continued implementation of the current signs. Tariffs on imported cars is not only a blow to Chinese imports of cars, but also the main purpose is to combat a large influx of Japanese used cars in Russia. Data show that the first two months of this year, the Japanese used cars into Russia is almost stagnant. In addition, imported cars for the more stringent safety and environmental standards are brewing, the current public message is that Russia in 2010 to implement the European IV emission standards.
Russia is a high risk investment market has become an accepted fact, even by the Russian government welcomed the cross-border capital investment in Russia very carefully, especially the Japanese auto companies, for example, after the Toyota-owned factory in Russia only in 100 million U.S. dollars, which the world at large Toyota obvious contrast.
Policy to avert the indecision of Chery are one of the justifications he moved to Belarus, and new partnerships with the Russian co-operation does not productively TagAZ Chery in addition has to face.
Depressed because of market conditions, the two sides did not realize the original investment. At present, TagAZ serious issue of funding chain, according to Russian media reports, the plant has been owed the bank 6.0 billion Russian rubles southwest of the Russian foreign trade bank, as well as 6.5 billion rubles.
Because of currency shortages, the vegetation or even the matching supplier only, seller of "barter", bonds, allocations, apparatus, wares can be employed for settlement. Because of the deficiency of auto elements suppliers, TagAZ commence goods produced in February from the prevailing goods produced has not entirely recovered. Chery and give the method of assembly, TagAZ in addition forcing their own brand label of motor vehicle C-100, this motor vehicle fittings imported from Korea.
Chery insist not to give up the Russian market, with the person as saying "the Board will come out will be very difficult." Last year, Chery terminals in Russia of 1.2 million units sold this year, the same mission in Russia is the lowest bottom line. Chery is currently the focus of the work is firm confidence in the distributor in Russia, and in marketing efforts.
Roland believes that Chery assembled in Russia want to draw the lessons of the project, in the hands of the production control of Belarus. It is understood that the Chery projects in Belarus are of great importance to the Government, Belarus Deputy Prime Minister to personally intervene. "China's car prices have suffered setbacks in Russia, an important reason for this is that did not receive the support of the Russian government, and Toyota, GM and other multinational corporations are just the opposite."
Of course, the fundamental reason is the benefits, Belarus national production has only a few hundreds of passenger vehicles, passenger cars and annual sales reached nearly 25,000, that is to say Chery to enter Belarus would not impact on the formation of local brands, and will be added beneficial.
The industry believes that there is also different from the Russian government anxious to protect the local car manufacturers, Belarus began in 2006 to set up joint venture production of Iran's car, there should be no domestic car companies are lobbying to put pressure on the Government policies often cause automobile industry adjustment.
Belarus are a very significant colleague of Russia, which exactly engages the political and security of Russia, encompassing Belarus, the CIS nations and Russia have marked a free trade affirmation, except for certain products, the rudimentary trade tariff to zero. Roland said that Chery As for future tasks in Belarus, the key counts on the Government of Belarus and the Russian government commitment.
Specific to engine vehicles, Chery well renowned with the applicable persons in Belarus, notified reporters, Chery vegetation in Belarus is changeable in alignment to circumvent the principle of the Russian risk, in agreement with the country's two free trade affirmations, as long as the localized output of Chery in Belarus 50% , you can trade items the Russian.
From the sales of the first two months of this year, the Chinese car was almost completely annihilated in Russia, which also includes one of the growth in 2008 of the Great Wall and other Chinese car prices, from this perspective, Chery is a selection of Belarus was no choice but to force, but once this road of Belarus had a go, will give a great impetus to China's car prices example, in order to keep the Russian market, Chinese enterprises will be more selection in the assembly and manufacture of the Commonwealth of Independent States. - 21393
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