Slump in Russia to affect Skoda sales goal of 1.5 million vehicles in 2018

Article by Christian A., on November 30, 2014

Skoda is targeting to sell 1.5 million vehicles in 2018 – a goal that has become more difficult to achieve as the carmaker continues to experience a slump in sales in crisis-hit Russia.

The auto industry in Russia is taking some hits from the current Russia-Ukraine row, trade sanctions and weakening currency – leading carmakers to delay or decrease their investment in the country.

Combine that with the brand’s continued dive in India, the 2018 sales target has become harder to hit. Skoda’s midterm plan anticipate a Russian market of 3 million vehicle sales, 4 percent of which Skoda expects to account for.

Werner Eichhorn, Skoda board member for sales and marketing, told Automotive News Europe, said they expect the Russian auto market to shrink to around 2 million units this year, which means sales of just over 80,000 vehicles.

To that effect, Eichhorn said Skoda is now reevaluating all its investments and processes in Russia. According to Skoda, budget changes may affect future production of the Yeti in Nizhny Novgorod, where the SUV is being built under license.

The Czech carmaker has already stopped producing the Fabia subcompact in Kaluga to pave way for the new generation.

Carmakers are seeing a significant opportunity in the Russian auto markets as the country has over 140 million consumers and boasts of rapid middle-class development.

Experts believe that Russia will soon become the largest auto market in Europe, surpassing Germany in terms of vehicle sales.

Topics: skoda, russia, sales

If you liked the article, share on:

Comments

Recommended

The 2018 Porsche 911 GT2 RS that made its debut not so long ago at the E3 video game expo in Los Angeles has already been sold out according to...
by - June 23, 2017
Mazda seems too far ahead in Safety technology for having four of its vehicles chosen as the safest on the road. Very recently, the Insurance Institute for Highway Safety has...
by - June 22, 2017
The automotive world is intensely competitive given the growing number of players, but the British car manufacturer is adamantly holding on to its spot. The 2018 Jaguar XF Sportbrake, priced...
by - June 22, 2017
Audi’s all-electric supercar, the R8 e-tron, had been discontinued last October after being in the market for under two years. The electric vehicle was then exclusive to the European market...
by - June 22, 2017
Dodge has made it clear to everyone, including its potential buyers, that the Challenger SRT Demon is a street-legal drag car - that it is unlike any of your ordinary...
by - June 22, 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