Analysis of Russian LED Lighting Market Logistics

<< Go Back Posted By:administrator on Jan 24,2015in Industry News

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When entering any Russian LED lighting market, logistics is an essential information that foreign LED light companies need to acquire.

Manufacturers seeking access to Russian market can turn to traditional logistic service providers, but there are also many “consultancies” that assist foreign manufacturers product distributions in the local market, and act as another form of logistics. These consultancies usually have control over order sources, and provide solutions to assist local Russian distributors. Once the consultancy finds a suitable solution overseas, it will procure the product and ship it to Russia. Therefore, it can also be viewed as a distributor.

The Russian market indicate many of these “consultancies” are backed by Chinese investors, and the Russian offices are usually just shell companies. This is also a unique situation only seen in Russia. In a word, LED products entry threshold to the Russian market is fairly low, since the country has gradually lowered tariffs since joining WTO in 2012. LED components are even expected to enter a “zero tariff” period in Sept. 2015, while lighting tariffs will fall by nearly 12%~15%.