Chinese are not afraid of the fall of the Russian market

Sales of JAC cars started in Russia on March 20th. Chinese concern Anhui Jianghuai Automobile Co., LTD (JAC), together with the general distributor in Russia, the company “Bogdan Rus Auto” presented two models - a crossover S5 (it is assembled in Russia, Cherkessk) and sedan J5 (it is assembled in Ukraine, Cherkasy) promises to bring in the country more a hatchback J2 (it will be shipped from China) closer to the summer.

While sales of JAC began only in two showrooms of the country - in the Volga federal district (Togliatti, AsAvto Company) and Tatarstan (Naberezhnye Chelny). “Within a month, the vehicles will appear in 12 salons, which are in the South, Central and Volga Federal District. “Within three months, all 28 dealers that we have, will receive the first lot of cars”, - said General Director of “Bogdan Auto Rus”, Roman Khovrin.

It is curious that neither Moscow nor St. Petersburg is in this new dealer network. “These dealers are more demanding today and they will work only on the conditions of sales”, - said Mr. Khovrin. - We are not ready for these terms and we work with those, who are ready to give an advance payment, according to our commercial policy. In the future, we have developed a program with a bank that will work with the dealer on the terms of factoring. That is, we can return to the dialogue with these candidates, if we don’t find a dealer who can work with our current scheme”.

It is also known that during the year the number of dealerships will increase to 40 and by 2017 – to 90. “Bogdan Auto Rus” intends to sell 3000 crossovers S5, 2300 sedans J5 and 200 hatchbacks J2 in 2014. Today S5 is offered to customers in two configurations at the price of 649 thousand rubles, J5 - in three configurations at the price of 479 thousand rubles.
While cars are bought for cash, but it will be launched soon joint programs with the banks for retail sales for providing credit sales compensation and lending rates. For legal entities similar programs will run later, about the middle of the summer.

“For us, Russian market is very important”, - said the director of the Russian car market JAC, Steven Wang, at the presentation. – “We will deliver S5 and J5 for a while. On the basis of a good after-sales service we will work to improve them and we hope to please you even more advanced models ...”.

Reference: JAC Company was founded in 1964. It is one of ten major Chinese automakers (its annual production is more than 700 thousand cars). The company also owns research centers in Hafee, Turin, Tokyo and it exports its products to Europe, South America, Asia and Africa.