Automotive

Transport market is one of the most profitable markets in Russia. Russian government pushes all international companies to localize their production (for tax reduction) or to make partnership with Russian producers (Kamaz & Daimler, Lada & Renault, GAZ & VW, Transmasholding & Alstom, Aeroexpress & Siemens, RZD & Siemens ...). In addition to the localization, divers producers are now buying sub-components in Russia.  

 

We are specifically focused on:

  • Engines, cars, buses, Off Road, Railway...

  • Transport OEM, integrators and infrastructure

  • Russian and Belorussian market

  • Local and foreign producers

Basic information on Automotive market

BELAZ

RAILWAY

UMZ

YAMZ

CAR
TRUCK
BUS

ENGINE

OFF ROAD

KTZ

KIROVETS

ROSTELMASH

MTZ

MMZ

GAZ

KAMAZ

GAZ

LADA

RZD

UWZ

MWM

TMH

Common prerequisites

With a solid distribution network and right partners, worldwide companies have a good opportunity to get ROI on their investment. However, in order to exponentially increase sales in Russia and CIS, it is mandatory to create the local office. 

This is often the reason why companies struggle to increase sales in Russia. They wrongly believe:

  • That it is possible to manage Russian market from Europe and come 3 or 4 times a year.  

  • Russian clients (Top management, engineers, suppliers) speak English.

  • The most important is to have orders and manage logistic; having stock in Russia is optional.

  • Technical support could be managed by distributors.

Moreover, trends are to promote the "made in Russia" and Russian government issues plenteous of laws to stimulate the increase of localized products in Russia. For example, car manufacturers get fiscal advantage proportionally to the localized share.  

Many governmental tenders are reserved for Russian companies. If your company already does business in Russia, and your products have real competitive advantages, the localization of production is the best way for your company to keep the market for the next years and increase considerably the sales. 

What we can propose

  • A team based in Moscow. According to us it is mandatory because: 

  • We strongly believe that a client needs to be visited regularly. From our experience from organizing meetings with top management of our customers during a week in Russia, we regularly notice that Russian top managers (especially from state groupe) postpone the meeting at last minute. Having a team full time in Russia allows the company to be more reactive and more effective is their business development 

  • It allows the company to provide a closer support (for example a 24/7) and more efficient prospection (no need to make visa, buy ticket, book a hotel...) 

  • Having a team which speaks Russian (and even a native Russian speaker) allows clients to be more confident and speak without barrier. It is often strategic to understand the subtleties of the language and understand the hidden messages of the interlocutor. 

  • Having a team with technical background allows us to be professional and effective when exchanging with customer’s technical dept and to provide more accurate translation, either for important discussion or technical documentation (RFP for example). 

  • It avoids any misunderstanding from Russian culture and adapts to Russian practice 

Moreover, we can help your company to : 

  • Settle localisation strategy 

  • Validate the right Russian industrial partner. 

  • Develop new product specifically for Russian market​

TR & Partners also has all the necessary tools and connections for making relevant lobbying in Russian government and with top management of the customers. It is an important step, to validate your place on the market from other foreign competitors.

All Russian competitors have an obvious and noticeable advantage over all foreign companies – the “made in Russia” label. This case is much more complicated that to be faced only with foreign competitors, but we are used to work on these cases, and we have all the necessary background and connections in Russia to implement the right strategy for competing local companies.

Others services: 

MARKET STUDY

MARKET ACCESS

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