Page 103 - RusRPTMar19

9.1.2 Automotive sector news
Russia’s Industry and Trade Ministry will resume car demand programs from March 1, Minister Denis Manturov told President Vladimir Putin, as cited in a protocol by the Kremlin. “Vladimir Vladimirovich, we will continue the launch of a highly effective program: the social programs First Car and Family Car on March 1. We have agreed on the amount of budget subsidies for this year,” Manturov said. “We hope that it will give an extra impetus to production and will support the car industry.” The First Car and Family Car targeted aid programs active in 2018 stipulated a 10% discount on car purchase. Sales amounted to 85,940 over the first four months of the program, exceeding the plan of 80,600 cars. In July, the program was extended, and the discount was raised to 25% for citizens of the country’s Far East.
Consulting firm PricewaterhouseCoopers (PwC) forecasts sales of new cars in Russia to fall 2% to 1.65mn vehicles in 2019 under the baseline scenario, the company said in a research note late on Thursday. Under the optimistic scenario, sales will rise 0.5% to 1.68mn cars. The sales of cars made by national producers may amount to 363,000 this year under the baseline scenario, while the sales of foreign cars assembled in Russia may stand at 1.012mn and of imported cars at 271,000. Implementation of a
103 RUSSIA Country Report March 2019 www.intellinews.com