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Brand structure of truck parc on 01.01.2011

Analytics

Russian new car market grew in 2013 in monetary terms

Financial capacity of the largest market in the country in the Moscow region has declined, but others could grow by tens of percent - mainly due to the replacement of low-cost cars by more expensive models, experts say.

19 junemore info

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In February, sales of Chinese cars in Russia fell by 28% 27.03.17 - 15:58 In February, sales of Chinese cars in Russia fell by 28%

The analytic agency "AUTOSTAT" conducted a study of the Russian market of new cars, which covered manufacturers from China. According to the results of the study, sales of new Chinese cars (according to the AEB, taking into account LCV) in February of 2017 were about 1.9 thousand units - less by 28% than a year ago.

Supplier Business

Supplying VW Group

Supplying VW Group

Date of issue: 26.10.11

Format: A4, 111 pages

Price: 1 750 €

 

 

 

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The Volkswagen group has set clear objectives in its attempt to sustain the global leadership it is set to gain at the end of this year. The company is working towards a 2018 target, while bearing in mind the lessons taught by GM’s recent troubles and Toyota headaches with global recalls. If on one side the carmaker—which boasts control over a galaxy of brands—targets 10 million deliveries by 2018, it also wants to remain faithful to its sustainable profitability credo and ring fence its margins even in a period in which it is working on increasing its overall volumes and gain a more substantial foothold outside its traditional comfort zones, such as North America and the ASEAN region. At the same time, Volkswagen needs to maintain a strong focus on quality and technology to achieve its objective to become a leader in quality and customer satisfaction.

The Purchasing function at Volkswagen, in charge of a procurement budget slated to reach the 100 billion euro mark this year, is expected to deliver its contribution towards the achievement of the corporate targets the company as a whole is geared towards at a group level. The volumes per part created by the carmaker’s well-established cross-brand and cross-platform part standardisation strategy have given more negotiation leverage to the purchasing department with some sizeable contracts which suppliers are eager to win. As the carmaker production base becomes more global, the supply base is expected to follow suit, which will require the purchasing department to scout more suppliers closer to final assembly lines. This radical localisation plan does not rule out a good chunk of business coming from cheap sources in low-cost countries.

However, some alarm bells are ringing with regards to the state of the carmaker’s relationship with its supply base, as some suppliers complain the group has undertaken a less supplier-friendly stance in recent years—as shown in SupplierBusiness’ annual supplier-OEM relations surveys. This applies to a varying extent to all group’s brands, from premium brand Audi to more value-oriented Skoda. An unabated pressure to deliver best product technology and world-class quality, while maintaining substantial productivity gains seems to be a recurring theme of all group brands, particularly when compared to direct competitors.

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News on this topic

  • 15 march 2017 Volkswagen Group Rus has replaced the head of production in Nizhny Novgorod

    Marek Smykal (45 years old) was appointed the head of the Volkswagen Group Rus production site in Nizhny Novgorod. He joined the Volkswagen Group Rus team on March 1st, 2017, by replacing Dr. Florian Reiter in this position.

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    Russian dealers of Volkswagen in February sold 455 light commercial vehicles, which is more by 10% than in the previous year. By the results of the first two months of 2017, sales of Volkswagen brand Commercial vehicles in Russia grew by 3% and they were 760 units, reported the company's press service.

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  • 9 march 2017 Volkswagen in February increased sales in Russia by 18%

    Russian dealers of Volkswagen in February sold 6,361 cars, which is more by 18% than in the previous year. For the first two months of 2017, sales of the brand in our country grew by 11% and they were 10,942 cars, reports the press service of Volkswagen.

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