Honda Motor RUS LLC (Honda)

Performance indicators

The revenue of Honda's Russian subsidiary, Honda Motor Rus, in 2019 amounted to 3.11 billion rubles, which is three times less than in 2015 (9.99 billion rubles).

History

2023: Resumption of car deliveries to Russia and opening of a dealership in St. Petersburg

Honda resumed official deliveries of cars to Russia and on June 21, 2023 opened a dealership in St. Petersburg. At the first stage, the Japanese manufacturer expects to sell more than 20 cars every month.

According to TASS Aleksey Piskov, Deputy General Director for Development of Auto Capital Corporation JSC, Honda is RUSSIAN FEDERATION supplied by Motor Place. It supports the warranty for both those cars that were previously imported and those cars that were delivered by June 2023. The company serves as an official sub-distributor. You can service the car and receive warranty support from any Honda dealer in Russia, Piskov said.

By June 21, 2023, eight Honda models are available for purchase in Russia: Civic and Accord sedans, 5th and 6th generation CR-V crossovers, UR-V, ZR-V, Vezel and Odyssey minivan. The current assortment is four times more than in 2020 - most of the mentioned cars were not officially sold in Russia.

Honda Vezel

More than half of Honda models available at the dealership were not previously officially sold in Russia. The presented wide range of the manufacturer will be of interest to admirers of the brand and to those motorists who are looking for a replacement for brands that have left Russia, including premium ones, - said Valery Ryzhkin, General Director of Zvezda Neva LLC, in a conversation with the news agency.

Investments in the opening of a dealership amounted to about 250 million rubles. The new car dealership is located at 17 Vitebsky Prospekt, building 1. Its area is more than 3 thousand square meters. m.

We are the official distributor of Honda and give these cars a three-year warranty. Deliveries began this year, - said the general director of Motor Place Mikhail Plotnikov.[1]

2022: Suspension of export of products to Russia

The Japanese automobile concerns Honda Mazda and decided to stop exporting their products Russia to due to the situation on To Ukraine and imposed against RUSSIAN FEDERATION sanctions. This became known on March 2, 2022.

It is noted that Honda will refuse, in particular, from the export of cars and motorcycles, and Mazda will stop supplying spare parts and components for its factories located in the Russian Federation.

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2020: Announcement of withdrawal from the Russian car market

On December 30, 2020, Honda announced that it would stop supplying cars to the Russian market in 2022.

The decision was dictated by Honda Motor's automotive business development strategy, aimed at restructuring operations amid ongoing changes in the global automotive industry, the company explained (quoted by Interfax).

Honda leaves the Russian car market

Honda expects to maintain its presence in the Russian market of motorcycle and power equipment, as well as continue after-sales service of Honda cars^[3].

According to Mikhail Plotnikov, executive director of Honda Motor Rus, the decision to leave the Russian auto market was made "based on the current realities and strategy of the company."

By the end of December 2020, Honda sells only two crossovers in Russia: CR-V and Pilot. Their cost begins    at 2,319,900 and 3,599,900 rubles, respectively. It was also reported that this list in the future may be replenished with a new generation compact City sedan - in early August, the company patented this car in Russia.

According to the Association of European Businesses (AEB), in November 2020, 79 Honda-branded cars were sold in Russia, which is 50% less than in the same period in 2019. In January-November 2020, sales decreased by 15%, to 1,383 cars.

Partner of Avtostat  Igor Morzharetto, in a conversation with the 360 ​ ​ TV channel, said that the company's decision would not bring significant changes for the domestic market. Moreover, Honda has not been interested in Russian customers before.

They never seriously considered us. They have three main markets for themselves: Japanese, American and Chinese. All other markets are not of particular importance to them, including the Russian one. They did not hide this, - said the expert.

According to him, for the Russian market, even the crisis market, where 1.5 million cars are sold per year, Honda accounts for only 0.1%. According to preliminary information, by the end of December 2020, there are five official dealers in the country.

Notes