Eugene Gerden

As Russia’s military conflict with Ukraine continues, some companies are scaling back operations in the country and others are looking to maintain or expand their presence in former Soviet Union satellites.

Conditions continue to deteriorate in the Russian automotive industry as government intervenes in an effort to prop up vehicle and parts supplies cut off due to war-related sanctions.

While General Motors becomes the first foreign automaker to leave Russia since the Ukraine conflict began Feb. 24, others are reassessing their Russian operations.

Analysts say if Western sanctions and embargoes remain in effect, South Korean and Chinese automakers could increase exports to Russia – possibly giving the companies more than half of the market by summer.

None of the automakers that shut down following the Feb. 24 attack on Ukraine have indicated they will completely withdraw from Russia. But Renault has suspended its Moscow-area manufacturing operations and is ...

Global automakers have begun exporting Russia-built cars to other markets. This is happening in part because it has become unprofitable for them to sell their products in Russia due to devaluation of the ruble.

Sanctions may curtail U.S. imports of equipment and machinery used in the manufacture of auto parts. In that case, Russian automakers likely would obtain similar equipment from the European Union and China, analysts say.

GM remains a minor player in the Russian market, but full-year 2021 sales of 3,423 units were up 72.7% from a year earlier, according to Wards Intelligence data.