Chinese automakers could benefit in Russia after global brands halt exports to the country and suspend production at Russian factories amid the Ukraine crisis.
Volkswagen Group, BMW Group, Hyundai and Toyota are among automakers that have halted output at their Russian plants after Western governments imposed sanctions on the country following its invasion of Ukraine. Others including Porsche and Bentley have stopped exporting to Russia.
Chinese automakers operating in Russia have so far been silent on whether they will continue do business in the country.
Russia has become an important market for Chinese brands including Great Wall's Haval, along with Chery and Geely, mainly for sales of crossovers and SUVs.
"In the event that U.S. and European Union sanctions on Russia stay for a prolonged period of time and U.S. and European carmakers become effectively prohibited from doing business in Russia, there is potential for Chinese automakers to gain share in the Russia market," Eunice Lee, senior analyst focusing on Asian autos at bankers Bernstein, a bank, said in a report.