Renault-Nissan alliance may grab leading position on the Russian market

Article by Christian A., on November 9, 2010

In a last-ditch effort for the Renault-Nissan alliance to take the lead in the Russian market, Carlos Ghosn is currently in talks to take control of AvtoVAZ. Erich Hauser, an analyst with Credit Suisse in London, said that if Ghosn is successful at “get[ting] Russia right,” the alliance would be “starting from a position of strength.”

Russia is one of the four largest growth markets. The Renault-Nissan alliance needs Russia since the mature markets are declining and the other three growing markets are already dominated by overseas carmakers.

The biggest carmaker in China is Volkswagen AG. Fiat S.p.A. dominates in Brazil while Suzuki Motor Corp. leads in India. Ghosn estimates that by 2015, Russian auto sales will reach 4 million.

He aims that about 40% of those deliveries will be taken over by AvtoVAZ and that it will be able to expand production by 700,000 vehicles. Data from the country's Association of European Businesses show that nine-month sales gained 18% to 1.32 million.

Ghosn said earlier that Renault-Nissan is in talks with Moscow brokerage Troika Dialog and state-owned Russian Technologies Corp., which each hold 25% of AvtoVAZ.

The alliance aims to acquire a controlling stake in Russia's largest carmaker at the suggestion of Russian Prime Minister Vladimir Putin. Currently, Renault-Nissan holds a 25% stake, valued at 12.4 billion rubles ($410 million). [via Bloomberg]

Topics: renault, nissan, russia

If you liked the article, share on:

Comments

Recommended

Is there anything more exciting than a spoiler? Well, for those who didn't know, there are those who have already seen the Mercedes-AMG Project One (in the flesh) way before...
by - April 25, 2017
Does the Honda Passport ring a bell to you? This was the first ever SUV that was sold by the Japanese automaker, but it was not that successful compared with...
by - April 25, 2017
Wagon buyers who prefer their vehicle to be luxurious, you will have an entirely brand new selection at the latter part of this year. Porsche will start rolling out 4...
by - April 25, 2017
McLaren rejects the idea of creating anything other than a sports car. That means that vehicles that would be ideal for families such as an SUV or a crossover are...
by - April 25, 2017
The new and improved Opel Grandland X is out, and this large SUV is something the European market did not know they would need. Now measuring at 14.7 feet (4.48...
by - April 25, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries