automotivelogisticsrussia.com Report : Visit Site


  • Server:Automotive...

    The main IP address: 184.168.131.241,Your server United States,Scottsdale ISP:GoDaddy.com LLC  TLD:com CountryCode:US

    The description :russia summit: dealing with the reality of a slow recovery confidence is gradually returning to the russian automotive market with sales and production showing definite signs of life after a tough per...

    This report updates in 03-Dec-2018

Created Date:2006-06-23
Changed Date:2015-11-02

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Latitude: 33.601974487305
Longitude: -111.88791656494
Country: United States (US)
City: Scottsdale
Region: Arizona
ISP: GoDaddy.com LLC

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-- july 2018 #alrussia home report 2017 location 2017 programme 2017 sponsors 2017 speakers 2017 attendees 2017 photos archive toggle navigation toggle search search for... search search event... search home events russia 2017 report read this in russia summit: dealing with the reality of a slow recovery confidence is gradually returning to the russian automotive market with sales and production showing definite signs of life after a tough period of retrenching and divestment. sanctions remain but many at this year’s automotive logistics russia conference in moscow felt that this was the time to invest in the market again, while also looking for new export opportunities. marcus williams reports after four straight years of production and sales decline in russia, the automotive sector is seeing some signs of recovery. that is good news for the automotive supply chain in the country, however, many challenges remain to do with the economy, the country’s infrastructure, government policy and bureaucracy. manufacturers and logistics providers are starting to explore ways to work together to bring forward investments, including to avoid potential capacity constraints in some segments that could start to bite as early as this autumn. meanwhile, companies across the automotive logistics sector are looking to the russian government for support and clarity on a number of customs, regulatory and subsidy programmes. without such dialogue and cooperation, it will be difficult for all companies to make the most of the recovery. production this year is expected to hit 1.4m units, according to figures from business analyst ihs markit – a healthy increase on the 1.2m nadir seen in 2016. production is running at an average of between 30%-40% of capacity, according to separate figures from financial analyst, gazprombank, though some more popular brands are back to 70% and over. car production grew by more than 20% in the first five months of the year, though light vehicle sales are lagging slightly and are expected to end up at around 1.6m units this year, up around 400,000 compared to last year. the recovery will be slower than expected because of reduced incomes and savings amongst the buying public and the previous high of around 3m light vehicle sales per year in russia is now unlikely to be realised before the end of the next decade. according to kirill nikoda, analyst at gazprombank’s economic forecasting centre, buying a car is one of the most expensive things for a russian citizen, while fuel costs and spare parts are also pretty near the top of the list. regardless of the financial constraints on the majority of russians at the moment, the population still spends a total of some 9 trillion roubles ($150 billion) on buying, maintaining, fuelling and insuring new and used passenger cars each year, he said. a the same time prices for new cars have slowed down to target levels of inflation, which is positive for consumers.it is also positive for the automotive logistics sector, which according to nikoda, is currently worth 150 billion roubles. meanwhile, although the market for imported cars in russia has dropped by 15% on last year, and continues to fall, there is a strong focus on russian-built vehicles. some manufacturers are even expanding or updating plants and supply footprint; mercedes-benz is building a new plant for passenger vehicles in the moscow region, for example; volkswagen group and commercial and contract manufacturer gaz group have signed an engine supply and cooperation agreement. kirill nikoda, analyst at gazprombank’s economic forecasting centre tatiana hristova, manager of central and east european light vehicle forecast, at ihs markit, said that the gradual recovery in the russian automotive market would in part depend on convincing investors that had not left the country to stay. that challenge was complicated by the ongoing economic sanctions imposed by the us and eu, which look like they are going to stay in place longer than expected, she said. while not worsening the russian economy, these sanctions are impeding financial liquidity and russia is looking further afield for investors from china, india and the middle east. slow the market recovery may be (at least in the passenger car sector), however a number of companies are hopeful for the future while others note that the downturn has forced them to adapt new more efficient processes, which now means they are more prepared for change. according to elizaveta korshunova, head of outbound logistics and deputy director for planning and distribution at gaz group’s commercial vehicles division, if major logistics providers understand that the market needs to be developed by any means and that they can work with oems to share investment in new assets, the industry should find a solution to any problem, no matter what happens. korshunova pointed out that the commercial vehicle sector is recovering faster than the passenger car market. tatiana hristova, manager for central and east european light vehicle forecasts, at ihs markit downsizing for the upturn the downturn has led oems and logistics providers alike to restructure their businesses and that in turn has led to contraction and consolidation. gefco, majority owned by russian railways (though its stake may soon be reduced ), has seen a lot change over the last four years, according to kamil mezynski, managing director of gefco in russia. in 2013, 97% of gefco’s business in the country was related to inbound and outbound automotive, but the figure is now below 70%, as it has expanded in other industries such as heavy equipment, railway and the energy sector. the company has also reduced its assets and footprint in russia. “we have prepared for the new reality and have compressed assets,” said mezynski. “we had seven sites in 2008; now we only have two. and in the good times, gefco had a fleet of 300 vehicle carriers; it is now significantly lower. we had to consolidate.” gefco has also incorporated its former algai offshoot back into the main business. this was set up to handle general motors distribution but with the oem pulling out of the country in 2015, the volumes were not there any more. at the same time, however, gefco, has been making investments – including in railcars to move vehicles as well as storage facilities, such as the one at doskino, in nizhny novgorod. “now it is only gefco and we are ready for the reality,” said mezynski. “we still believe russia is one of the most interesting markets to be in.” korshunova also pointed to consolidation efforts at gaz, which is primarily a manufacturer of light commercial vehicles, while also carrying out contract manufacturing for brands including volkswagen, skoda and daimler. “we have similar [reductions] in the number of warehouses and [the use of] different space and internal processes; we are ready for any further changes. after all the experience gained from living through the crisis, we have established a platform for future development,” she said. investment in capacity while under-used plant capacity remains a real problem, the gradual return to growth is causing issues on the outbound side of the business after years of under-investment. that constraint is not showing too dramatically at the moment but by autumn there could be some real problems. alberto picco, director of sales at car transporter manufacturer rolfo, said there had been no new carrier purchases in russia since 2015 and the size of the fleet in the country currently stood at around 3,000. of that, 1,800 were 4-9 years old and in reasonable condition but the rest were not: around 600 were 10 years old or more while the other 600 were in poor technical condition and close to being scrapped. “the companies are trying to keep them alive but they are tired assets,” said picco, suggesting that the sector would need 400-500 additional rigs by september and october this year to get cars from the factories to the deal

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Domain Name: AUTOMOTIVELOGISTICSRUSSIA.COM
Registry Domain ID: 495761678_DOMAIN_COM-VRSN
Registrar WHOIS Server: whois.godaddy.com
Registrar URL: http://www.godaddy.com
Updated Date: 2015-11-02T10:20:54Z
Creation Date: 2006-06-23T11:26:51Z
Registry Expiry Date: 2020-06-23T11:26:51Z
Registrar: GoDaddy.com, LLC
Registrar IANA ID: 146
Registrar Abuse Contact Email: [email protected]
Registrar Abuse Contact Phone: 480-624-2505
Domain Status: clientDeleteProhibited https://icann.org/epp#clientDeleteProhibited
Domain Status: clientRenewProhibited https://icann.org/epp#clientRenewProhibited
Domain Status: clientTransferProhibited https://icann.org/epp#clientTransferProhibited
Domain Status: clientUpdateProhibited https://icann.org/epp#clientUpdateProhibited
Name Server: NS51.DOMAINCONTROL.COM
Name Server: NS52.DOMAINCONTROL.COM
DNSSEC: unsigned
URL of the ICANN Whois Inaccuracy Complaint Form: https://www.icann.org/wicf/
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