Russia facing major crisis, biggest car company forced to work 4 days in a week, how China destroyed Russia?
News
Russia facing major crisis, biggest car company forced to work 4 days in a week, how China destroyed Russia?
Russia facing major crisis, biggest car company forced to work 4 days in a week, how China destroyed Russia?
Carmaker AvtoVAZ is facing difficulties due to the high car loans and 'price dumping' of imported Chinese cars in the Russian market.
Russia facing major crisis, biggest car company forced to work 4 days in a week, how China destroyed Russia?
Moscow: AvtoVAZ, which is the biggest carmaker in Russia, is going to make major changes in the company. It is planning to reduce its work week from five to four days. Known for its Lada cars, AvtoVAZ is forced to take this step because of the decline in car sales due to high interest rates and the increasing challenge from Chinese competitors. Its sales have declined by 25 percent in the first six months. However, the carmaker has blamed the high interest rates of Russia's central bank, because of which people are not taking car loans. The increased production cost is also haunting the country. The situation has come to the fore amid slow growth and fears of recession in Russia's economy. It is also a sign of the major impact on the economy following two years of heavy defence spending on the Ukraine war.
How Chinese Cars Dominating In Russian Auto Market
Amid slow growth and fear of recession, 'price dumping' of imported Chinese cars in the Russian market is also a major problem for AvtoVAZ. Notably, 'Made in China' vehicles now account for more than 50 percent of sales in the country. AvtoVAZ also plays a part in the country's big economy as it employs over 30,000 people.
It is worth noting, earlier the Russian government has previously provided financial assistance to the company to save it from bankruptcy.
AvtoVAZ To Reduce Working Hours
Russia's largest car company plans to reduce its working hours starting from September. It is considering working four days a week instead of five. The reason is declining sales.
In June, Russia's Finance Minister Maxim Reshetnikov warned that Russia's economy is on the verge of recession.
Russian car sales are projected to decline by 25% in 2024, mirroring a similar drop in AvtoVAZ sales during the first half of the year. Autostat reports that AvtoVAZ sales reached 155,481 units in this period, representing a 25 percent decrease.
For breaking news and live news updates, like us on Facebook or follow us on Twitter and Instagram. Read more on Latest World News on India.com.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
30 minutes ago
- Mint
Humanoid robots embodiment of Chinas AI ambitions
Serving craft beer, playing mahjong, stacking shelves and boxing, the dozens of humanoid robots at Shanghai's World AI Conference this weekend were embodiments of China's growing AI prowess and ambition. The annual event is primed at showcasing China's progress in the ever-evolving field of artificial intelligence, with the government aiming to position the country as a world leader on both technology and regulation as it snaps at the United States' heels. Opening the event on Saturday, Premier Li Qiang announced China would set up a new organisation for cooperation on AI governance, warning the benefits of development must be balanced with the risks. But in the cavernous expo next door, the mood was more giddy than concerned. "Demand is currently very strong, whether in terms of data, scenarios, model training, or artificial construction. The overall atmosphere in all these areas is very lively," said Yang Yifan, R&D director at Transwarp, a Shanghai-based AI platform provider. This year's WAIC is the first since a breakthrough moment for Chinese AI this January when startup DeepSeek unveiled an AI model that performed as well as top US systems for an apparent fraction of the cost. Organisers said the forum involved more than 800 companies, showcasing over 3,000 products the undeniable crowd pleasers being the humanoid robots and their raft of slightly surreal party tricks. At one booth, a robot played drums, half a beat out of time, to Queen's "We Will Rock You" while a man in safety goggles and a security vest hyped up a giggling crowd. Other droids, some dressed in working overalls or baseball caps, manned assembly lines, played curling with human opponents or sloppily served soft drinks from a dispenser. While most of the machines on display were still a little jerky, the increasing sophistication year-on-year was clear to see. The Chinese government has poured support into robotics, an area in which some experts think China might already have the upper hand over the United States. At Hangzhou-based Unitree's stall, its G1 android around 130 centimetres tall, with a two-hour battery life kicked, pivoted and punched, keeping its balance with relative fluidity as it shadowboxed around a ring. Ahead of the conference's opening, Unitree announced it would launch a full-size humanoid, the R1, for under $6,000. Most high-tech helpers don't need hardware though. At the expo, AI companions in the form of middle-aged businessmen, scantily clad women and ancient warriors waved at people from screens, asking how their day was, while other stalls ran demos allowing visitors to create their own digital avatars. Tech giant Baidu on Saturday announced a new generation of technology for its "digital humans" AI agents modelled on real people, which it says are "capable of thinking, making decisions, and collaborating". The company recently ran a six-hour e-commerce broadcast hosted by the "digital human" of a well-known streamer and another avatar. The two agents beat the human streamer's debut sales in some categories, Baidu said. Over ten thousand businesses are using the technology already, the department's head Wu Chenxia told AFP. Asked about the impact on jobs one of the major concerns raised around widespread AI adoption Wu insisted that AI was a tool that should be used to improve quality and save time and effort, which still required human input. For now, few visitors to the WAIC expo seemed worried about the potential ramifications of the back-flipping dog robots they were excitedly watching. "When it comes to China's AI development, we have a comparatively good foundation of data and also a wealth of application scenarios," said Transwarp's Yang. "There are many more opportunities for experimentation."
India Today
33 minutes ago
- India Today
Indian man applauds Dutch authorities' prompt response. Video goes viral
An Indian man living in the Netherlands praised the authorities' prompt response to minor road bumps. He further said that the road was already perfect for him as he emphasised the minuscule nature of the video, shared by Prabhu Visha on Instagram, was titled: "Coming from India, this honestly felt so beautiful to me."Visha explained why he believes the Netherlands truly cares for its people. "Near my home in the Netherlands, there were some small bumps on the road. For me, the road was already perfect. But then we got a letter from the government explaining they will fix it – with details of why, when, where, and how. It's possible some people complained about it, and that's why they're fixing it. But still, it's amazing that they listen and act," he said. advertisement He added, "Even small bumps matter here, for pregnant women, people biking with kids, or the elderly. Seriously, hats off to this government for their inclusion and communication," adding that this is what working for and with the people should truly look the now-viral video, Visha skated down the road while showing how minor the bumps appeared on camera. "I wish every country cared for its people like this," he the video here: View this post on Instagram A post shared by Prabhu Visha (@prabhuvisha)The video has garnered over 2,91,000 views so far, and the internet had a lot to say about it. "I agree, yes, the taxes are high, but when you realise little things like this. It makes it so much worth it," a user said, as another added, "Bro, don't lie, the road is perfect, I am from India.""Proud to be part of this beautiful country," a user the comments here:Prabhu Visha's post is an example that even the smallest issues, when addressed promptly, can leave a lasting impression.- EndsTrending Reel
Time of India
40 minutes ago
- Time of India
'Blood Money': Oppn Slams Govt, BCCI Over India-Pak Asia Cup Match Amid 'Ongoing Op Sindoor'
India-U.S. Trade Deal: What's India's Smart Backup Plan If The Deal Falls Through? | Explained India may be negotiating a major trade deal with the US, but it isn't putting all its eggs in one basket. With services exports projected to reach $387.5 billion and strong gains in chemicals and apparel, India is building buffers beyond just one agreement. Strategic moves like reviewing the ASEAN pact and preparing for potential US tariffs on Russian oil further highlight India's diversified approach. While a final trade offer worth $150–200 billion is already on the table, key sectors like agriculture and dairy may be excluded to speed up the deal. Watch the video for India's full strategy in this shifting trade landscape.#indiaustrade #servicestrade #exportstrategy #economicresilience #trumptariffs #russianoilimports #aseantrade #indiaseconomy #globaltrade #diversification #toi #toibharat 11.2K views | 2 days ago
