Chinese cars drive a revival of Russia’s auto factories

MOSCOW, July 22 (Reuters): The relaunch of a classic Soviet-era car, the Moskvich, by a state-owned company in November was celebrated by Moscow's mayor as showing the resilience of Russia's auto industry to Western sanctions.

"This is a historic event," Sergei Sobyanin said as the Moskvich was unveiled at a factory the Moscow government took from French carmaker Renault last year for just one rouble ($0.01). "Many people thought it was the end of the Russian car industry."

But the rebirth of the Moskvich is also a sign of China's growing sway over an important sector of Russia's economy.