Skip to main content
Sister Publication Links
  • Automotive News
  • Automobilwoche
  • Automotive News Canada
  • Automotive News China
Subscribe
  • Subscribe
  • Newsletters
  • Login
  • HOME
    • Latest news
    • Automakers
    • Suppliers
    • New Product
    • Environment/Emissions
    • Sales By Market
    • On The Move
    • Auto Shows
    • Munich Auto Show
    • Geneva Auto Show
    • Paris Auto Show
    • Beijing Auto Show
    • Shanghai Auto Show
  • Features
    • Long Read
    • Interview of the Month
    • Focus on Electrification
    • Focus on Technology
    • Segment Analysis
    • Cars & Concepts
    • Supplier Spotlight
    • Europe By The Numbers
  • Opinion
    • Blogs
    • Commentary
    • Guest columnists
  • Photos
    • Photo Galleries
    • Geneva Photo Gallery
    • Beijing Photo Gallery
    • Frankfurt Photo Gallery
    • Paris Photo Gallery
    • Shanghai Photo Gallery
  • Podcasts
  • Car Cutaways
  • EVENTS
    • ANE Congress
    • ANE Rising Stars
    • ANE Eurostars
    • Browse photos from the 2021 awards ceremony
  • More
    • Publishing Partners
    • Social Media
    • Contact Us
    • Media Kit
    • About Us
    • Capgemini: Securing the industry's future through a radical rethink
    • Capgemini: Succeeding with the automated driving journey through AI
    • HEXAGON: Plugging into data is the only way to make winning EVs
    • TUV Rheinland: Battery testing center for large battery packs and more
    • TUV Rheinland: Ideas, services and certifications for smart mobility
    • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
    • Toyota Europe
    • UFI Filters
    • Facebook
    • Instagram
    • LinkedIn
    • Twitter
MENU
Breadcrumb
  1. Home
  2. Automotive News Europe
December 19, 2014 12:00 AM

Ghosn says ruble plunge a 'bloodbath' for automakers

Renault, Nissan suspend orders on some models in Russia

  • Tweet
  • Share
  • Share
  • Email
  • More
    Print
    Ghosn: Confident that the Russian market will stabilize.

    TOKYO (Reuters) -- The ruble's plunge is creating a "bloodbath" for automakers in Russia, Renault-Nissan CEO Carlos Ghosn said.

    Nissan and Renault have stopped taking orders for some cars in Russia and could raise prices on others if the ruble continues to fall, Ghosn told reporters today at Nissan's headquarters in Yokohama, Japan.

    "The bad news is that the market is shrinking. This is bad news for everyone," Ghosn said. "When the ruble sinks it's a bloodbath for everybody. It's red ink, people are losing money, all car manufacturers are losing money."

    "We have suspended taking orders," Ghosn said. "We didn't do it overall, just on some models. We said, 'Sorry, until we see where this situation is going we don't take orders.' "

    The Russian currency has tumbled about 50 percent against the dollar so far this year, putting pressure on automakers, which have had to raise prices and contend with falling demand.

    General Motors, Audi and Jaguar Land Rover temporarily stopped selling cars in Russia because of the ruble's plunge.

    Nissan has already increased prices on half of the models it sells in Russia by 5 percent to 8 percent, Ghosn said. The company has hiked prices on more expensive models built in Russia that use high levels of imported parts.

    Ghosn said he remains confident that the Russian market would "stabilize," but that the plummeting value of the ruble made it hard to make longer-term plans at present.

    He said the Renault-Nissan alliance is faring better than rivals in Russia and is gaining market share, as a production alliance with the country's biggest automaker, AvtoVAZ, shields it against the ruble's plunge.

    Ghosn wants to triple sales in the country in the next three years. Taken together, the Nissan, Renault and AvtoVAZ's Lada account for over a third of vehicles sold in Russia.

    Renault and Nissan have a majority stake in AvtoVAZ.

    Nissan's vehicle sales in Russia rose 10 percent to 141,879 in the first 11 months in a market down 12 percent, according to data from the Moscow-based Association of European Businesses in Russia.

    Combined sales of Renault, Nissan and AvtoVAZ vehicles fell 8 percent to 682,841 through November, but the group's market share increased to 30.7 percent from 29.6 percent.

    Nissan is increasing production in Russia and says that 90 percent of the cars it sells in Russia will be built in the country by 2016.

    RECOMMENDED FOR YOU
    Hyundai marketing VP Andreas-Christoph Hofmann to speak at Automotive News Europe Congress
    Recommended for You
    Andreas-Christoph Hofmann 2021 Eurostars
    Hyundai marketing VP Andreas-Christoph Hofmann to speak at Automotive News Europe Congress
    Monica Perez Lobo Toyota 2022
    Toyota Europe ESG director Monica Perez Lobo to speak at Automotive News Europe Congress
    Philippe Houchois, managing director of Jefferies Group
    Jefferies analyst Philippe Houchois to speak at Automotive News Europe Congress
    Toyota and Capgemini leaders on how OEMs can handle industry changes and succeed
    Sponsored Content: Toyota and Capgemini leaders on how OEMs can handle industry changes and succeed
    Sign up for free newsletters
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    Get Free Newsletters

    Sign up and get the best of Automotive News Europe delivered straight to your email inbox, free of charge. Choose your news – we will deliver.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    SUBSCRIBE TODAY

    Get 24/7 access to in-depth, authoritative coverage of the auto industry from a global team of reporters and editors covering the news that’s vital to your business.

    SUBSCRIBE NOW
    Connect with Us
    • Twitter
    • Facebook
    • LinkedIn
    • Instagram

    Founded in 1996, Automotive News Europe is the preferred information source for decision-makers and opinion leaders operating in Europe.

    Contact Us

    1155 Gratiot Avenue
    Detroit MI  48207-2997
    Tel: +1 877-812-1584

    Email Us

    ISSN 2643-6590 (print)
    ISSN 2643-6604 (online)

     

    Resources
    • About us
    • Contact Us
    • Advertise with us
    • Advertise with Us
    • Ad Choices Ad Choices
    • Sitemap
    Awards
    • Rising Stars
    • Eurostars
    • Leading Women
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Automotive News Europe
    Copyright © 1996-2022. Crain Communications, Inc. All Rights Reserved.
    • HOME
      • Latest news
      • Automakers
      • Suppliers
      • New Product
      • Environment/Emissions
      • Sales By Market
      • On The Move
      • Auto Shows
        • Munich Auto Show
        • Geneva Auto Show
        • Paris Auto Show
        • Beijing Auto Show
        • Shanghai Auto Show
    • Features
      • Long Read
      • Interview of the Month
      • Focus on Electrification
      • Focus on Technology
      • Segment Analysis
      • Cars & Concepts
      • Supplier Spotlight
      • Europe By The Numbers
    • Opinion
      • Blogs
      • Commentary
      • Guest columnists
    • Photos
      • Photo Galleries
      • Geneva Photo Gallery
      • Beijing Photo Gallery
      • Frankfurt Photo Gallery
      • Paris Photo Gallery
      • Shanghai Photo Gallery
    • Podcasts
    • Car Cutaways
    • EVENTS
      • ANE Congress
      • ANE Rising Stars
      • ANE Eurostars
        • Browse photos from the 2021 awards ceremony
    • More
      • Publishing Partners
        • Capgemini: Securing the industry's future through a radical rethink
        • Capgemini: Succeeding with the automated driving journey through AI
        • HEXAGON: Plugging into data is the only way to make winning EVs
        • TUV Rheinland: Battery testing center for large battery packs and more
        • TUV Rheinland: Ideas, services and certifications for smart mobility
        • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
        • Toyota Europe
        • UFI Filters
      • Social Media
        • Facebook
        • Instagram
        • LinkedIn
        • Twitter
      • Contact Us
      • Media Kit
      • About Us