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Rambler.- The deliveries of one of the most technologically advanced Russian export products, Lada vehicles, have been stopped to Europe. The reasons behind the decision have been explained by experts.
European dealer centres have received the last party of vehicles from the general distributor of the brand: Lada Automobile GmbH Deutschland more than two months ago. The aforementioned batch contained the last automobiles to arrive in Europe from Russia, according to a company representative.
The decision came as a reaction of the Renault-Nissan-Mitsubishi alliance, which includes Avtovaz, to the outbreak of the financial crisis and the decline in new car sales due to the self-isolation regime in most European countries. According to the formulated marketing plan, the budget segment of the European market will be covered by Renault and Dacia and the remaining members of the alliance will stay out of competition.
Unfortunately, the products of the Russian manufacturer clashes with Renault models in terms of price. According to the director of Avtovaz Sergei Ilyinsky, the cessation of supplies is caused by new environmental requirements in Europe. The improvement of engines requires huge financial costs and the management considered it inappropriate.
The Russian manufacturer will lose reputation in terms of image, in addition to financial losses, since Avtovaz is known as the creator of the popular Lada 4×4 in the European market, which was brought to the public eye by the purchase of the famous race car driver Ralph Schumacher not so long ago, on which we made a report recently.
