2023-07-07 22:38:31
Starting August 1, 2023, the government will index the scrappage rates for cars and light commercial vehicles (LCVs) and trucks. This is stated in the resolution published on July 7.
The tax rate for cars will be indexed on average by 1.7-3.7 times depending on the engine size, for LCVs – 2.5-3.4 times, for trucks – 1.7 times, the press service explained. Ministry of Industry and Trade. The fee for buses, according to the agency, will increase on average by 2.2-4.8 times, for electric buses – by 8.7 times at once.
Sergey Burgazliev, an independent consultant on the automotive industry, explains the significant increase in the fee for electric buses by the high price of domestic cars. Our electric bus today costs 45-50 million rubles, European – 20-30 million rubles, and Chinese – 15-20 million, he explains.
Indexation will be carried out in relation to new and used vehicles (TC) that will be imported into Russia after August 1, 2023. Indexation will not affect passenger electric vehicles, the Ministry of Industry and Trade specifies.
The ministry also noted that the indexation applies to new and used cars imported by legal entities. Individuals importing equipment with an engine capacity of up to 3 liters for personal use will not be affected, there will be a reduced rate of 3,400 rubles. for cars up to three years and 5200 rubles. – for cars older than three years. But you will have to pay an increased utilization fee to those individuals who, after August 1, will import cars for the purpose of resale. “The full amount of the scrap fee will be paid if an individual imports more than one car per year – starting from the second car,” the Ministry of Industry and Trade specified.
The Ministry of Industry and Trade believes that an increase in scrappage fees will not lead to an increase in prices for domestic cars, “they will be restrained by state industry support programs” aimed at restarting idle sites, increasing production volumes and developing their own component base, and stimulating demand. “Industry representatives will continue to adhere to the principles of maintaining a responsible pricing policy. At the same time, an increase in the fee will increase the investment attractiveness of the localization of auto production in the Russian Federation for partners from friendly countries,” the ministry said in a statement.
The utilization fee is a one-time payment, it is charged for the future disposal of equipment from September 2012. It is paid for each car, its amount is determined based on the base rate (20,000 – 172,500 rubles, depending on the type of car), multiplied by a coefficient that differs for different types of equipment with different weight, age and engine size.
Initially, the fee was levied only on imported equipment. But in 2014, it was also extended to cars made in Russia. But in the same year, the Russian authorities introduced industrial subsidies that are not officially related to the collection, but actually compensate for it for Russian factories (the amount of compensation depends on the level of localization of a particular car brand). In 2021, the budget was replenished due to the recycling fee by 513.8 billion rubles, of which 130.4 billion rubles. came from car imports (there is no open data for the last year).
The last time the collection rates were increased in 2020 by 46% for cars with engines up to 1 liter and by 145% for cars with engines over 3.5 liters. The fee for the most popular passenger cars with a 1-2 liter engine then increased by 112%.
The press service of AvtoVAZ said that the company “in every possible way supports” the new indexation of waste collection. “This measure is an important step to stimulate investment in the national production of cars and auto components. The AvtoVAZ team of many thousands thanks the government, the Ministry of Industry and Trade, and the governor of the Samara Region Dmitry Azarov for their support, preparation and adoption of this extremely timely decision. We are also grateful to the Federation Council and personally Valentina Matviyenko (on July 5, the head of the Federation Council supported the increase in the fee. – Vedomosti) for their important role in making the changes, ”the automaker said in a statement.
The representative of AvtoVAZ claims that this measure will not affect the company’s pricing policy due to the “high localization of all Lada cars” and will allow creating new attractive models for the Russian and export markets. “The decision will save more than 1 million jobs in the Russian automotive industry and the component industry and will lead to the transfer of technologies and the development of competencies in the industry,” the company’s press service added.
Since the beginning of the year, AvtoVAZ President Maxim Sokolov has publicly supported the indexation of the recycling fee against the background of the aggressive expansion of Chinese car brands in Russia. The cumulative sales of the latter, according to him, “sometimes are comparable or exceed those of AvtoVAZ”. The general director of Kamaz, Sergey Kogogin, also advocated indexation (Vedomosti wrote about this on June 1). Earlier, senators of the Federation Council and Matviyenko have repeatedly spoken out in favor of increasing the utilization fee.
In the first half of 2023, 401,566 new passenger cars were sold in Russia, according to Avtostat data and the electronic PTS system. This is 14% more than in January-June 2022.
Sergey Burgazliev, an independent automotive industry consultant, is skeptical about the effectiveness of increasing the scrap fee to protect domestic producers. This idea has become obsolete, the expert believes. In his opinion, domestic producers thus “lose healthy competition” and will still raise prices (Vedomosti wrote about the upcoming price increase by 5-10% on July 7).
Auto expert Vladimir Bespalov, on the contrary, believes that the indexation of scrap is a “sensible measure” as part of an integrated approach to stimulate the localization of production in Russia. “The market is gradually recovering in terms of supply, there is no such acute situation as last year,” he clarifies. According to the expert, it is necessary to gradually reorient from market saturation to increasing the localization of production.
Due to the increased sanctions pressure on Russia after the start of the NWO in Ukraine, European and American car brands began to curtail production in the Russian Federation. Together with a shortage of components, this led to a shortage in the Russian market for new cars. At the end of 2022, sales of new passenger cars and LCVs amounted to 687,370 units, which is almost 59% less than in 2021, according to data from the Association of European Businesses. This year, new factories of Chinese brands (Kayiy, BAIC, SWM in Kaliningrad) began to open in Russia, and sales of new cars began to grow.
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