Russian Automotive Market Research

According to Association of car makers of Ukraine «Ukravtoprom», following results of March 2016 sales of new cars in Ukraine increased almost 2.2-fold and made 4902 units. Positive dynamics in the Ukrainian car market continued for three consecutive months. Over the first quarter of 2016, 12286 cars were sold in Ukraine, which is a 57.9% increase on the previous year.

In March the leader in the Ukrainian market became Toyota, which sold 592 cars that is 3.4 times more than in the previous year. Renault, sales of which almost doubled and made 512 cars, took the second place. Volkswagen occupied the third place with a figure of 277 sold cars (+83%). It is followed by BMW – cars of the Bavarian brand were purchased by 273 buyers (+157%). Ford rounds out the TOP-5, its dealers sold 264 cars (+288%).

Russian Automotive Market Research

The interdepartmental commission of the Ministry of Industry and Trade approved the first federal special investment contract with the joint venture «Mazda Sollers Manufacturing Rus» (partners own 50% each). The contract, which will be valid till 2023, will be signed until the end of April of the current year.

Under a special investment contract «Mazda Sollers Manufacturing Rus», having invested 2 billion rubles, organizes the production of engines in Vladivostok with the capacity of 50 thousand units. The company will also launch the production of updated Mazda 6 and Mazda CX-5.

During the contract term the JV will keep privileges for transportation of cars by rail from Vladivostok, as well as will receive the guaranteed right to participate in state programs aimed to support the automotive market and automobile production. The joint venture wanted to get customs exemptions, but this measure was not approved. The matter concerned a discount for the import of technological equipment, but JV can receive it if it becomes a resident of a special economic zone in Vladivostok, the application for registration has been already filed.

Russian Automotive Market Research

On April 1 excise taxes on gasoline and diesel fuel increased in Russia. So, the excise rate for gasoline will grow by 2 rubles per liter (to 10 130 rubles per ton), for diesel fuel — by 1 ruble per liter (to 5 293 rubles per ton). According to the Ministry of Finance, as a result of increase in excise rates retail prices for gasoline may rise by 6.5–7%. Additional revenues from increase in excise taxes on fuel are expected to amount to 89.3 billion rubles in 2016.
This is the second increase in excise taxes on fuel in 2016: on January 1 the rate for Euro-5 gasoline grew by 36.1% or 2 rubles to 7.53 rubles per liter, and for diesel fuel — by 20.3% to 4.15 rubles per liter.

Audi changed terms of warranty service of the entire line-up of new cars in Russia. Now the warranty on cars is four years or 120 thousand kilometers. Thus, within the first two years of the car operation the mileage is not limited. The new program will come into effect on March 29, 2016. In respect of cars sold prior to this date, terms of service remain unchanged – two year warranty without mileage limitation

Source Russian Automotive Market Research

The Ministry of Economic Development published a draft departmental order, which offers to establish the localization of industrial assembly of cars at the level of 45% for the fourth year from the date of the supplemental agreement and 50% – for the fifth year from the date of the supplemental agreement. Currently during the fourth year of the level of localization not less than 50% of parts must be of Russian production, and during the fifth year – not less than 55%.

Moreover, the document offers to change the principle of calculation of the cost of produced cars and parts for them. In addition to sold cars the calculation will include parts accounted in accordance with their total cost, and cars, which have not been sold yet, but are in the warehouse. In turn, the calculation of total prices for all cars, as well as automotive components, which were exported, will be carried out according to the value from the commercial and (or) accounting documents.

Source Russian Automotive Market Research