Foreign-brand vehicles continue to reach Russia despite Western and Asian sanctions imposed after Moscow’s 2022 full-scale invasion of Ukraine, with China emerging as the primary conduit for cars entering the Russian market through gray-market channels that bypass export restrictions and automaker pledges to withdraw, Reuters reported on 12 February.
The trade underscores how sanctions on Russia’s automotive sector are being diluted through third-country channels. While carmakers pledged to halt exports after Moscow’s full-scale invasion, Chinese intermediaries and reclassification schemes have allowed foreign-brand vehicles to continue flowing into the Russian market at scale.
130,000 sanctioned-country cars sold in 2025
Citing Russian registration data and interviews with five people involved in the trade, Reuters said Chinese intermediaries are enabling Russian dealers to import vehicles from brands that pledged to exit the Russian market.
According to data from Russian research firm Autostat reviewed by Reuters, nearly 130,000 vehicles made by automakers from sanctioning countries were sold in Russia in 2025. Almost half were manufactured in China.
Since the start of the full-scale invasion, more than 700,000 vehicles from such foreign brands have been sold in Russia, the data show.
New cars relabeled as "used" to dodge restrictions
The report says many of the cars are built in China through joint ventures with international brands or routed through China after being produced elsewhere.
A growing share are zero-mileage vehicles registered as sold in China and then reclassified as used before export. Reuters previously reported that this practice allows traders to avoid automaker approval for Russia sales and to benefit from China’s subsidized auto market.
In Russia, these cars are often sold at prices comparable to new vehicles, despite being labeled as used in export documentation, according to shipping records and a Russian dealer cited by Reuters.
Toyotas, BMWs, Porsches among top sellers
Autostat data reviewed by Reuters show that Russians bought nearly 30,000 Toyotas last year, almost 24,000 of them made in China. Nearly 7,000 Mazdas were sold, almost all China-made.
German brands also remain present. Nearly 47,000 BMW, Mercedes-Benz and Volkswagen Group vehicles - including Audi, Porsche and Skoda - were registered in Russia in 2025, Reuters reported. More than 20,000 were manufactured in China.
Some models, including the Mercedes G-class produced in Austria, are also reaching Russia via China, according to industry analysts and shipping documents reviewed by Reuters.
Automakers say sales unauthorized
Automakers including Mercedes-Benz, BMW, Volkswagen, Toyota and Mazda told Reuters they prohibit exports to Russia and are taking steps to prevent unauthorized sales. BMW said any gray-market imports occur outside its control and against its will.
Sanctions experts told Reuters that even with compliance measures in place, it is difficult to fully prevent restricted goods from entering Russia due to complex supply chains and intermediary networks.
China has emerged as the primary conduit for foreign vehicles reaching Russia, Reuters reported, though the agency said it could not determine every pathway used. Chinese and Russian authorities did not respond to requests for comment.
