Global auto makers leaving Russia amid falling oil prices

Global Business

Published April 2, 2015 at 9:01 PM
Updated April 3, 2015 at 11:31 AM

Low oil prices and Western sanctions have been tough enough on the Russian economy, but now car sales are falling too. Several global auto makers, including General Motors, Volkswagen and Nissan have announced major cutbacks in their Russian operations. CCTV’s Julia Lyubova takes a look at the impact on local dealerships and workers.

Global auto makers leaving Russia amid falling oil prices

Low oil prices and Western sanctions have been tough enough on the Russian economy, but now car sales are falling too. Several global auto makers, including General Motors, Volkswagen and Nissan have announced major cutbacks in their Russian operations. CCTV's Julia Lyubova takes a look at the impact on local dealerships and workers.

Highlights:

  • US car maker General Motors announced plans to pull its Opel and Chevrolet brands from Russia.
  • Exiting Russia will cost GM about $600 million.
  • Some analysts believe about 25 percent of Russia’s car dealerships could close this year.
  • Russia plans to spend $424 million in subsidies and for other incentive programs in an effort to boost demand.

    • GM’s Daniel Ammann on development and growth of auto industry

    General Motors was at the 2015 New York International Auto Show kicked to unveil the latest technological advancements in its vehicles including the Cadillac CTS which it believes will showcase the driver experience of the future. CCTV’s Karina Huber interviewed GM President, Dan Ammann about new technological advancement, obstacles for global growth, and why China remains one of the most significant markets for the automaker.

    GM's Dan Ammann on development and growth of auto industry

    The 2015 NY Auto Show kicked off this week. And GM was on hand to unveil the latest technological advancements in its vehicles like the Cadillac C-T-S which it believes will showcase the driver experience of the future. CCTV's Karina Huber spoke to GM President, Dan Ammann about new technological advancement, obstacles for global growth, and why China remains one of the most significant markets for the automaker.

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