RBC daily writes that, according to BCG, the Russian automotive market is about to face the second globalization wave. Following in the footsteps of international car manufacturers, global OEMs plan to enter the Russian market. For Russian OEMs, this implies a negative impact and the need to either shut down production or seek opportunities to cooperate with competitors that are larger in size. "The introduction of stricter assembly requirements will drive the new localization wave and partnership arrangements between international and Russian companies," says Ewald Kreid, Partner and Managing Director at BCG Moscow. According to BCG, of the 40 largest Russian OEM manufacturers, 80% are in a critical condition that requires significant quality improvement and fundamental restructuring.
RBC daily writes that, according to BCG, the Russian automotive market is about to face the second globalization wave. Following in the footsteps of international car manufacturers, global OEMs plan to enter the Russian market. For Russian OEMs, this implies a negative impact and the need to either shut down production or seek opportunities to cooperate with competitors that are larger in size. "The introduction of stricter assembly requirements will drive the new localization wave and partnership arrangements between international and Russian companies," says Ewald Kreid, Partner and Managing Director at BCG Moscow. According to BCG, of the 40 largest Russian OEM manufacturers, 80% are in a critical condition that requires significant quality improvement and fundamental restructuring.RBC daily writes that, according to BCG, the Russian automotive market is about to face the second globalization wave. Following in the footsteps of international car manufacturers, global OEMs plan to enter the Russian market. For Russian OEMs, this implies a negative impact and the need to either shut down production or seek opportunities to cooperate with competitors that are larger in size. "The introduction of stricter assembly requirements will drive the new localization wave and partnership arrangements between international and Russian companies," says Ewald Kreid, Partner and Managing Director at BCG Moscow. According to BCG, of the 40 largest Russian OEM manufacturers, 80% are in a critical condition that requires significant quality improvement and fundamental restructuring.
Reuters covers a BCG report on the Russian automotive market, according to which the Russian car market may become the world's sixth largest by 2020, up from its current 10th place, selling 4 million cars a year thanks to foreign partnerships, modernization, and more local production. "The Russian automotive industry has been the roller coaster of the BRICs [...] for the past 18 months, but now it is firmly back on track," writes Ewald Kreid, Partner and Managing Director at BCG Moscow. BCGexpects Russia to overtake Germany by 2018 as the largest market for passenger cars and light commercial vehicles in Europe.