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Russia Automotive Industry Newsletter

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This is the latest edition of the CS St. Petersburg Russian Automotive Industry Newsletter. This report contains information on recent developments in the imported and domestic car markets and U.S. Commercial Service programs can assist U.S. exporters wishing to enter this promising market.

 

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Russia Garage Equipment Market Overview

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The number of cars and trucks in Russia has grown tremendously over the last ten years and this trend continues today. However, the share of older vehicles in Russia is much higher than that in Western countries; and, as a result, those vehicles require extensive maintenance.

 

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Russia Automotive Aftermarket Industry

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This is the latest edition of the CS St. Petersburg Russian Automotive Industry Newsletter. This report contains information on developments in the imported and domestic car markets, trade events, and U.S. Commercial Service programs that can assist U.S. exporters wishing to enter this promising market. U.S. exporters should be aware of the U.S. Pavilion at the Moscow International Motor Show, Russia's largest automotive industry trade event (see end of report for details), to take place August 30 - September 3, 2006.

 

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Russia Truck Market

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Russia’s entire automotive market is growing at remarkable pace with imports of foreign makes steadily increasing. Significant recent reductions in duty rates on imported components have also increased the number of enterprises assembling foreign make trucks. Though inexpensive models are still the leading sellers, the rapid expansion of leasing mechanisms is helping Russian customers to purchase quality equipment. Domestic manufacturers dominate the market but their primary advantage remains low price, with quality still falling below modern standards. The development of the automotive manufacturing industry is a key priority of Russia’s industrial policy and the Russian government is actively encouraging foreign investment in the domestic automotive industry.

 

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Russia Automotive Aftermarket

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Twenty-three million car owners in Russia consume a wide range of spare parts, accessories and car-care products. This number should grow by about 5-10% annually. Therefore, U.S. companies enjoy considerable opportunities to sell their parts, accessories and service equipment. The number of cars and trucks in Russia has grown tremendously over the last ten years and this trend continues today. However, the share of older vehicles in Russia is much higher than that in Western countries; and, as a result, those vehicles require extensive maintenance, spare parts and expendable supplies.

 

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Russian Car and Specialty- Equipment Market Growing Fast

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The customizing bug has hit Russian shores, fueled by rising wages and growing consumer confidence. As credit has become more readily available in an improving economy, a growing number of middle-class Russians are buying cars and SUVs—often for the first time—and a growing portion of these motorists are customizing their vehicles.

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