Russian sanctions not worrying Slovak car makers

The three main carmakers in Slovakia have managed to adapt and so mitigate the consequences stemming from the sanctions between the European Union and Russia, reported the Pravda daily on Tuesday. It was expected that the firms would suffer from the sanctions because they were selling considerable numbers of cars on the Russian market. In fact, they've been able to find substitute markets in the West and so limit the damage. Kia, whose car plant is located near Žilina, has been able to sell more cars in western and southern Europe, while Volkswagen in Bratislava has enjoyed considerable success with its electric vehicles in northern Europe. PSA Peugeot Citroen in Trnava, meanwhile, has also found alternative markets in Europe. Interest in buying new cars in Russia has fallen by around 10 percent this year, and it was thought that the carmakers could see their total sales fall from around 987,000 in 2013 to 930,000 in 2014. Although a cut is still expected, it shouldn't be as large as once feared. "We'll make more than 960,000 vehicles in Slovakia this year, even though a smaller number was expected", said president of the Automobile Industry Association Jaroslav Holecek. The three carmakers account for as much as 41 percent of Slovakia's industrial production, and more than 200,000 people are employed either directly or indirectly due to their activities.