Nissan has started boosting its production in Russia as the collapse in the ruble hits its profits.
The company has already started production of its X-Trail SUV at its St. Petersburg factory. It will add the Qashqai next year as part of a 167 million euro investment that has doubled the plant's annual capacity to 100,000 units.
Colin Lawther, Nissan Europe's head of manufacturing, said, “Exporting the Qashqai to Russia from the company’s Sunderland, England, factory is not as attractive as it once was. The ruble is just crazy at the moment and beyond everyone's expectation. The weakening ruble is causing a lot of stress to automakers importing cars into the country.”
“Nissan still makes a profit selling the Qashqai in Russia despite the ruble’s declining value,” added Lawther.
Russia is one of the Qashqai’s two biggest markets along with the UK Nissan. It is also Nissan’s second highest seller there after Almera compact sedan, which is locally built. Nissan sold out 27,323 Qashqais, 22,251 X-Trails and 42,220 Almeras in Russia through November.
An estimated 90 percent of the cars Nissan sells in Russia will be built in the country by 2016. Nissan builds the Murano and Pathfinder large SUVs, and the Teana midsize sedan at the factory.