Low adaptability to Russian consumers, ruble fall behind demand drop for GM products: RIA
Reuters
Published Mar 18, 2015 04:10PM ET
Low adaptability to Russian consumers, ruble fall behind demand drop for GM products: RIA
MOSCOW (Reuters) - Low adaptability to Russian consumer needs as well as the fall in the ruble have been the main reasons behind a decline in demand for General Motors (N:GM) products in Russia, RIA news agency quoted the industry and trade ministry as saying on Wednesday.
General Motors said earlier on Wednesday it would shut its Russian factory and wind down its Opel brand in the country to try to survive a deepening downturn in the auto market.
"A low level of production localization (25-27 percent) were the main reason for the decline in attractiveness of the concern's models in the Russian automotive market," RIA cited a ministry's official as saying.
"The growth of the dollar against the rouble has only exacerbated an already difficult situation."
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.