Chinese automaker Chery Automobile has announced its intention to leave the Russian market to list on the Hong Kong Stock Exchange, placing shares worth $1.2 billion there, according to a promotional video, Nikkei reports

The proceeds will be used to expand the range of electric and hybrid cars. Chery plans to release more than eight new models. Another 20 percent of the proceeds will be used for overseas expansion.

Russia is Chery's second largest market after China. The company explained that it decided to stop operating in Russia to ensure compliance with sanctions and export controls.

In 2024, every fifth car sold in Russia was a Chery. In total, nearly 325,200 cars were sold in the country. Russia accounted for 25.5 percent of Chery’s total revenue in 2024 and 17.7 percent in 2023. The carmaker has 372 dealerships and 687 showrooms in Russia.

Chery’s exit from Russia will be fully completed by 2027.

Chery Automobiles Rus JSC sells Chery, Exeed, Omoda, and Jaecoo cars in Russia. The local representative office denies that the carmaker will completely leave Russia.

Moreover, the Chinese carmaker announced the cessation of operations in Iran and Cuba to avoid the risk of sanctions.