Financial capacity of the largest market in the country in the Moscow region has declined, but others could grow by tens of percent - mainly due to the replacement of low-cost cars by more expensive models, experts say.19 junemore info
The analytic agency "AUTOSTAT" carried out a study of the parc of cars in Russia as of January 1, 2017 and it determined the largest regional parks.
Date of issue: 07.07.14
Format: PDF, 50 pages
Price: 1 310 €
As quite a number of foreign automotive manufacturers have own enterprises in Russia this report includes information on foreign vehicle assembly and localization in Russia. The main part of the report contains characteristics of assembly enterprises, manufacturing foreign vehicles in Russia.
Besides production dynamics for several recent years, we also included the list of their local suppliers. Moreover the appendix contains a list of suppliers and localized parts for a range of automotive models, assembled in Russia. In recent years more and more companies have decided to establish new joint ventures and their own plants staking on growth and development of the promising Russian automotive market. Industrial assembly regime with tariff preference for automotive component import became an additional stimulus for foreign vehicle production in our country. Moreover, due to Customs Union some foreign manufacturers operating in Russia started to export their Russian-produced vehicles to Kazakhstan and Belorussia as well as to other Commonwealth countries.
As for the prospects of foreign vehicle assembly in Russia, the policy of import replacement with the new rules of industrial assembly will define the development of the local production of foreign vehicles in medium-term prospects, despite the entry of Russia into the WTO. We should remind that according to the terms of the entry into the WTO for Russia, customs duty for vehicle import should decrease steadily to 15% in 2018. The growth in foreign vehicle production in our country is to be stimulated by the new rules of industrial assembly, which came into effect in February 2011 and will be active till the middle of 2018, after that Russian Government intends to compensate automotive manufacturers for their financial losses due to cancellation of preferences for the sum of import duties.
Agreements about the new industrial assembly regime with Ministry of Economic Development of the Russian Federation were signed by four companies: AVTOVAZ-Renault-Nissan-IzhAvto and KAMAZ-Mercedes consortium, JV Ford-Sollers, Volkswagen and General Motors.
According to Ministry of Economic Development active facilities for 1.3 million vehicles will be added by new enterprises with production capacity of over 500,000 vehicles per year. The total additional investment in the projects will exceed $5 billion till 2015.
The report is prepared with an office research method. The major information sources are our own databases and the information obtained from the market players directly. All data, presented in the report is clearly organized, complied in tables and illustrated with graphs and diagrams if necessary.