Page 131 - RusRPTMay21

In April, models that are now in short supply will not be bought out due to lengthening delivery times, Denis Migal, head of Fresh Auto, told Kommersant; demand in the mass segment has dropped sharply due to an increase in prices since April, he notes, as cited by The Bell.
The decline in demand for new cars due to rising prices confirms the aftermarket crisis. In January alone, used cars have risen in price by almost 6%, and currently there are very few adequate ones. The Russians planning to change the car postpone the purchase and do not sell their used cars, and many of those who planned to buy a new one have paid attention to the secondary market, auto experts explain.
It is difficult to say now what will determine the state of the Russian car market more - a shortage of cars or a decrease in demand, but car dealers in general do not expect that the shortage of chips will end earlier than summer. According to IHS Markit, due to the shortage of semiconductors in the first quarter alone, the production of 1mn cars (about 5% of production) will be delayed in the world, the deficit will last at least the entire first half of the year.
Vladimir Bespalov from VTB Capital told Kommersant that he still expects the market to grow by 2-5% by the end of the year: the results of the second half of the year should be more indicative.
131 RUSSIA Country Report May 2021 www.intellinews.com