The Ministry of Economic Development softened requirements to automakers

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