29.01.2016 / MTPL average payment made almost 50 thousand rubles in 2015

Russian Automotive Market Research

According to the Russian Association of Motor Insurers (RAMI), in 2015 MTPL insurers increased premiums by 46% in comparison with 2014 - from 150.371 billion rubles to 220.198 billion rubles.

The amount of insurance payments increased by 37% and made 121.929 billion rubles against 89.079 billion rubles in 2014. Payments for 2015 do not include losses caused by the damage to life and health of victims of road accidents. In addition, statistics of MTPL payments did not include non-insurance payments on judgments (fines, expenses for the expertise, compensation for the loss of commercial value, etc.), the volume of which is estimated at about 10 billion rubles.

The average MTPL premium in 2015 increased by 2 thousand rubles and amounted to 5530 rubles, while in the previous year this figure was 3530 rubles.

28.01.2016 / The government expects that the state support will enable to sell more than 600 thousand cars in 2016

Russian Automotive Market Research

In 2016 the state support to the automotive industry will enable to keep the production of cars at least at the level of 2015. Thus, the state program of vehicle park renewal will help to additionally produce 320 thousand cars. 22.5 billion rubles will be allocated for this measure, but as of now 11.3 billion have been approved (for the first half of the year).

The state program of preferential auto leasing, which costs 5 billion rubles (as of now only half of the amount has been approved) will stimulate sales of 32 thousand cars, the program of preferential auto loans, which costs 11.3 billion rubles, including obligations of the previous year (5.6 billion rubles have been approved), – 270 thousand cars. The state program of subsidizing of the purchase of trolleybuses and buses, for which 1 billion rubles was allocated, will enable to sell 110 CNG buses and 1700 municipal vehicles (on 3 billion rubles), as well as more than 1350 ambulances on 3 billion rubles.

28.01.2016 / «Diamond Car» is a program of sales of certified used cars from Mitsubishi

Russian Automotive Market Research

MMC Rus, the official distributor of Mitsubishi cars in Russia, launches the program of sales of certified used cars «Diamond Car». This program covers Mitsubishi cars with the age of up to 7 years and the mileage of up to 150 thousand km.

Cars, offered under the program, undergo a comprehensive diagnostics in accordance with the inspection sheet of the program «Diamond Car» in official Mitsubishi dealer centers and receive an expert opinion on the admission to operation and proper working condition. All cars under this program undergo pre-sales preparation, including replacement of the oil filter and engine oil, air and cabin filters.

The car inspection sheet of the program «Diamond Car» includes evaluation according to the following criteria: Mitsubishi car was imported in Russia by the official distributor; the age of the car is up to 7 years, the mileage is up to 150 thousand km, the presence of a service history of the car maintenance (documented); the car was not involved in the road accident, which resulted in the change of geometrical parameters of the body and has no body elements and interior parts to be replaced; the number of newly painted items is not more than 5.

27.01.2016 / Production of cars in 2015

Russian Automotive Market Research

According to Federal State Statistics Service of Russia, in 2015 1.2 million cars rolled off the Russian production lines that is by 27.7% less than in the previous year.

Last year AVTOVAZ started to update LADA model line-up. In September Izhevsk automobile plant launched the production of the new LADA Vesta sedan and in December the plant in Togliatti began to assemble another novelty – LADA XRAY hatchback. Last year foreign automakers also expanded the model line-up assembled in Russia (Datsun mi-DO, Ford Fiesta, Hyundai Elantra, Nissan Qashqai, BMW X4, KIA Sorento Prime, etc.). Against the background of the continuing decline in demand for cars in Russia, many foreign automakers practiced temporary downtime of their assembly lines and reduction of working shifts, General Motors closed down the production in Russia and left the Russian market.

26.01.2016 / State subsidies to the automotive industry will be 50 billion rubles in 2016

Russian Automotive Market Research

In 2016 the Russian automotive industry will receive subsidies of 50 billion rubles. The government has already signed the corresponding order. In 2016 two new projects will be launched — support of export of Russian cars, which will be implemented by compensation for a part of transport costs in order to bring the Russian vehicles in compliance with international standards, as well as renewal of the park of ambulances.

Earlier it was reported that the government will allocate 5 billion rubles to support sales of Russian cars abroad as compensation for the carriage of cars to the border.

26.01.2016 / «Bank PSA Finance Rus» launched a new program «0% overpayment»

Russian Automotive Market Research

On January 22, 2016 under a special program of state preferential auto loans «Bank PSA Finance Rus» updated terms of programs Citroen Financial Services and Peugeot Finance «0% overpayment».

Terms on the loan repayment when buying Citroen C4 Sedan and Peugeot 408 under the program of preferential auto loans are 12, 24 or 36 months. Depending on the term the amount of the initial payment varies from 50% to 70% for one year, from 30 to 70% for 2 and 3 years.

The interest rate, specified in the loan agreement, also changed. Costs when buying Citroen C4 Sedan or Peugeot 408 of 2015/2016 years of manufacture and with the term of the loan repayment equal to 12 months will be 7.33%, which will be compensated for by providing a special price for the car. The calculated value of overpayment will be 0%.

25.01.2016 / Because of the growth of refinancing rate recipients of preferential loans have to pay taxes

Russian Automotive Market Research

Because of equating the refinancing rate with the key rate the tax burden of recipients of preferential loans increased. In December 2015 the Central Bank of Russia took a decision to equalize the refinancing rate with the key rate. If earlier it was 8.25%, now it is 11%.

This decision affected borrowers. The tax base for them automatically increased: material benefit, with which the tax in the amount of personal income tax (13%) must be paid, arose. According to the Tax code, material benefit is economy on percent for using borrowed funds, and it arises if the interest on the loan is less than two-thirds of the refinancing rate. Now customers will have to pay the tax, starting with that for 2016 and until the loan repayment.

25.01.2016 / Hyundai presented a number of lending offers

Russian Automotive Market Research

Hyundai Motor CIS announced the expansion of programs of preferential loans Hyundai Finance. Now Hyundai Solaris, Elantra and i40, the price for which is not more than 1 million 150 thousand rubles, are available on credit at a special rate of 7.33% per annum under the program of state subsidizing of interest rates. The new offer Hyundai Finance is available with the initial payment of 30% of the car value. The loan can be issued for a term of up to 3 years.

Special offer covered not only models, which fall under the state program. In January most Hyundai models can be purchased on credit on special terms, interest rates on express-loans for 3 years start from 7.9% per annum.

22.01.2016 / Requirements to reach the level of localization may be mitigated

Russian Automotive Market Research

The Ministry of Economic Development published a draft order, which offers to delay the achievement of 50% production localization level by automakers, working under industrial assembly agreements, for one year and stop at the level of 45%.

According to rules of the industrial assembly automakers have to reach the figure of 50% within four years from the date of enactment of additional agreements. Foreign companies began to strive for a delay against the background of the collapse of the Russian automotive market and sharp devaluation of the ruble, which resulted in the increase in the price for components and equipment for their production.

The draft document also provides for the mitigation of requirements for the production of engines in Russia, which is one of the terms of the agreement on the industrial assembly.

21.01.2016 / The Russian automotive industry will receive a new development strategy

Russian Automotive Market Research

The President of Russia Vladimir Putin entrusted the government of the Russian Federation to develop and approve a strategy of development of the automotive industry and the production of automotive components for the period up to 2025, aimed at import substitution of products and technologies, by March 1.

It is assumed that the updated strategy will include a forecast of the market and export of cars, as well specify needs of state and municipal authorities to provide passenger and freight transportation. The strategy of development of the Russian automotive industry shall set the priority directions of scientific and technological development of the Russian automotive industry and the development of prospective samples of cars with regard to the world trends of the transfer to serial production of electric vehicles. It is necessary to define mechanisms to support the development of the automotive industry, aimed to increase export and the share of purchase of vehicles of the Russian origin by companies with state participation and natural monopolies. In addition, the document shall specify mechanisms of development of automotive components production and vehicle production localization on the territory of the Russian Federation, investigate the interrelation of measures on the development of the automotive industry and automotive components production with those on the development of related industries, including metallurgical, chemical and electrical ones.