Ukraine invasion: Russian consumers rush to snap up Chinese smartphone stocks as the rouble’s value sinks

Sales of smartphones from Huawei, Oppo and Vivo in Russia significantly increased in the first two weeks of March, according to data from mobile carrier MTS

Chinese smartphone firms are credited with having sufficient stock in their warehouses in Russia to meet increased local demand

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New smartphone models from Huawei Technologies Co are seen at an electronics store in Moscow, Russia. Photo: Shutterstock

Published: 7:50pm, 17 Mar 2022Updated: 9:24pm, 17 Mar 2022

Major Chinese Android smartphone brands are seeing robust demand this month in Russia, boosted by increased local consumer spending on essential electronics devices, as international sanctions against the invasion of Ukraine sent the rouble in free fall.

“Russian retailers are setting the price higher every few days to make up for the exchange loss,” said Ivan Lam, Hong Kong-based analyst at Counterpoint Research. “People are buying everything from smartphones to home appliances before the currency further depreciates.”

Sales of smartphones from Huawei Technologies Co, Oppo and Vivo significantly increased in the first two weeks of March, according to a report by Russian daily newspaper Kommersant on Wednesday, citing data from the country’s largest mobile network operator MTS.

The number of Huawei smartphones sold during that period was three times more than the previous two weeks, the report said. Sales of Oppo and Vivo devices surged 200 per cent in the same period, while those of ZTE Corp and Realme grew 100 per cent and 80 per cent, respectively.

A woman walks past a board showing currency exchange rates of the Euro and the US dollar against the Russian rouble in Moscow, Russia, on March 11, 2022. Photo: Reuters

The brisk sales, however, signify panic buying because of the weakening rouble, rather than increased local preference for Chinese smartphone brands, according to Counterpoint’s Lam. The rouble was trading at 104.47 to the US dollar on Thursday.

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