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Russian supercar challenges Ferrari and Lamborghini

By Katia Moskvitch BBC News, Moscow

Nikolai Fomenko, Marussia Motors CEO, explains some of the features of the car

Parked in an old Soviet-era factory in northern Moscow, the ultra-sleek

supercars seem oddly out of place.

Global Car Industry

The cars' bright colours and shiny exteriors contrast sharply with the rusty

water pipes and the paint peeling from the grey buildings surrounding them.

Modern cars are no longer rare in Moscow.

In the streets outside the old plant, the traffic is heavy with Western models

that are vastly superior to the Ladas of the past.

But none of them are as striking as the sportscars hidden behind the factory

gates.

Commercially viable?

The cars are made by Marussia Motors, a small company that employs less than

300 people.

Marussia car The showroom in central Moscow is buzzing with prospective buyers

It is run by Russian showman-turned-racing-driver-turned-entrepreneur, Nikolai

Fomenko.

With a price tag of about 86,000, Marussia is the first luxury sportscar

produced in Russia.

The company likes to think of Ferrari and Lamborghini as its rivals.

Beyond the shapely curves of the cars, Marussia Motors has also taken on a

similar swagger to that of the Italian sportscar companies.

In early November, it acquired a controlling stake in the Virgin Racing Formula

1 team, a move it hopes will help promote its brand and drum up business for

its two models, B1 and B2.

It is a bold move for sure, though industry observers, both in Russia and

abroad, remain unconvinced Marussia Motors is commercially viable.

"We still don't have much information about the cost effectiveness, sales and

production costs of the company," says Oleg Datskiv, head of the the Russian

motoring website Autodealer.ru.

Start Quote

At least now we can show that we're capable of making good cars

End Quote Nikolai Kachurin Top Gear Russia

"Nor do we have transparency about real and prospective buyers."

Climbing into a shiny blue Marussia, Mr Fomenko brushes off such criticism.

"Being spontaneous is crucial," he grins as he turns the ignition key.

"Right now, everything's looking great," he shouts over the roar of the engine.

"We already have a lot of orders; a lot more than the 300 cars we're planning

to produce over the next year."

Luxury and sports

Without further notice, the car leaps forwards, quickly gaining speed.

"We can get up to 100km/h in 3.5 seconds," he boasts loudly.

Marussia car The sleek car seems oddly out of place at the old Moscow

Soviet-era factory

"You want 300 kilometres an hour? No problem. How about 340 kilometres?"

Mr Fomenko is clearly proud of the company, not least because all of it -

except for the British-built Cosworth engine - has been designed and is being

built in Russia.

Good aerodynamic qualities and extreme speed are among Marussia's key

attributes. It has been designed without door handles and one of the models has

no exterior mirrors to help reduce drag.

Instead of mirrors, the car is kitted out with outside video cameras that

transmit directly to the LCD screens inside the car.

Start Quote

Here at Marussia, there are only Russian employees, young people with ambition

End Quote Nikolai Fomenko CEO, Marussia Motors

Mr Fomenko insists Marussia is perfectly safe, as it has been made from three

detachable parts, just like an F1 car.

But comfort and luxury are vital too, says Mr Fomenko.

"I am not sure that you can sit in a traffic jam in a Ferrari Enzo or

Lamborghini Murcielago, but in our car you can," he says, pointing to the car's

entertainment system, which is equipped with music and film selection, a web

browser, Bluetooth and Skype.

Marussia Motors has ambitious plans for the near future.

"In three years, we would like to produce about 1,500-2,000 of these cars a

year," says Mr Fomenko.

"Soon other models will appear as well.

"In March, there will be a seven-seat sports utility vehicle (SUV), and [at

some point] there will also be an electric car."

A step forward?

Nikolai Kachurin, editor in chief of Top Gear Russia, says the project has a

lot of potential, being strikingly different from all other Russian-made cars.

"We're all used to making fun of the Russian automotive industry, calling our

Ladas unappealing names," he says.

"But the appearance of a good, expensive Russian supercar is a great step

forward.

"At least now we can show that we're capable of making good cars."

Lada Marussia looks nothing like the Soviet-era Lada

The car already seems to be generating a lot of interest.

The company's showroom in central Moscow is buzzing with prospective buyers.

The place is rather small, but classy. With just the right lighting, you can

spot the shiny red Marussia on display from the other side of the busy street.

"Until very recently, the phrase 'Russian supercar' seemed completely absurd,"

says a young bank worker, Artyom, as he circles around the car, almost

predatory.

"But here we see a beautiful Russian-made car. As a consumer, I am always glad

to see such products on the domestic market.

"It's heart-warming that the Russians are capable of producing something that

nice."

Niche business

This is a niche business, with buyers eager to show off their wealth and

glamorous lifestyle, so in some ways making this venture a success might be

easier than running a giant car firm such as AvtoVaz.

Start Quote

Marussia... is just like all the other Russian things; the balalaika,

matryoshkas, vodka and caviar

End Quote Oleg Datskiv Autodealer.ru

But even low-volume niche carmakers have to sell their cars.

For that, smart advertising is key.

Mr Datskiv from Autodealer.ru says Mr Fomenko's former career as a singer and

actor has equipped him with just the right combination of talents and contacts

to promote his company.

For instance, Marussia Motors' recent acquisition of a controlling stake in

Richard Branson's Virgin Racing Formula 1 team was probably about more than

just racing enthusiasm, he reasons.

"It is incredibly expensive to advertise the car in every single country of the

world," he says.

"The F1 deal solves this problem perfectly.

"There are people all over the world who love racing and who will be sitting in

front of the TV watching a Grand Prix, seeing Marussia Motors' logo on the

racing car and listening to TV commentators mention Marussia Virgin, from

Russia.

Marussia on the race track Marussia hopes its conection with the world of

racing will attract customers

"It is not even that important whether the team wins or not, as the primary

goal is to publicise the brand to find potential buyers for the car."

The move into F1 racing could also be seen as a political one, aimed at

creating a Russian team ahead of the first ever Russian Grand Prix in Sochi in

2014.

And then, of course, there is the so-called "Russia factor" that could play in

Mr Fomenko's favour.

"Marussia could appeal to people who buy sportscars to be unique," says Mr

Datskiv.

"For them, Marussia, with its Russian-sounding name, is just like all the other

well-known Russian things; the balalaika, matryoshkas, vodka and caviar."

Soviet heritage

So will Marussia lead the way and result in more Russian carmakers emerging?

"I really hope there will be other companies," Mr Fomenko says.

"We really need it. We need competitors. It's not easy [to get there], it's not

quick, but we're doing our best.

"Here at Marussia Motors, there are only Russian employees, young people with

ambition.

"So I'm sure Russia will get there in the end."