Medvedev: in the Russian automotive industry will start two new projects


TOGLIATTI, January 22. In the automotive industry managed to prevent the stop of enterprises and massive layoffs despite pessimistic forecasts, said Prime Minister of Russia Dmitry Medvedev at meeting on development of automobile industry.

“Our market continues to show negative dynamics. Sales of all types of cars in the past year has decreased in comparison with the year 2014 more than one-third, the Prime Minister said. – Experts gave a much more pessimistic predictions of the fall of the Russian car market. These pessimistic forecasts were not justified and most importantly, we did not allow the stop of enterprises and massive layoffs of people.”

Growth points

The automotive market significantly in the near future will not grow, you need to look for points of growth, Medvedev said.

“It is estimated that the market in the near future, in the short term will not significantly increase. Contributes to this and the increase in the purchase price, he said at a meeting on developing the auto industry. – However, you need to look for points of growth and in such very difficult circumstances”.

Medvedev stated that the industry managed to prevent the stop of enterprises and massive layoffs despite pessimistic forecasts.

“Our market continues to show negative dynamics. Sales of all types of cars in the past year has decreased in comparison with the year 2014 more than one-third, the Prime Minister said. – Experts gave a much more pessimistic predictions of the fall of the Russian car market. These pessimistic forecasts were not justified and most importantly, we did not allow the stop of enterprises and massive layoffs of people.”

The Prime Minister agreed to discuss measures to support the industry and to determine the main directions of its development strategy until 2025.
Medvedev stressed that the automotive industry is one of the key sectors of the economy and recalled that before the crisis the industry has developed very rapidly, resulting in the country’s car market climbed to fifth place in Europe, with more than 80 percent of sales to him amounted to the cars produced in Russia.

Speaking about the results of work in 2015, when they managed to prevent a collapse in this area, the Prime Minister reminded that this was largely due to the support measures for the sector of € 43 billion. Medvedev noted the good effect of programs to stimulate demand, fleet renewal, reduced leasing and financing. “More than half a million new cars that were purchased last year, more than a third was purchased with special preferential conditions. Began to be 600 thousand families were able to save on the purchase of cars, and on the other hand, we supported the production”, – said Medvedev.

“This year we this course will continue”, – he added.

The Prime Minister identified two areas of search for growth points. First, he demanded to promptly organize the work on import substitution of auto components, as domestic manufacturers are substantially dependent on them. You also need to determine the range of components for localization of additional production facilities in Russia and to create a basis for the development of advanced materials and components. The second direction, the Prime Minister called the analysis of export opportunities and the promotion of Russian brands and companies in foreign markets.

Subsidies to 50 billion

The automotive industry in 2016 will receive subsidies to 50 billion rubles, also said Medvedev.

I would also like to inform you that I have signed a government decree about the program of support of car industry in 2016, he said, speaking at a meeting on support of Russian automotive industry. The industry will receive in the current year, the largest amount of subsidies from all civil sectors… it is Expected that total funding will be about 50 billion rubles”.

The Prime Minister noted that the goal of this program is to lay the foundations for renewed growth of production of Russian cars.

Medvedev has noticed that the amount of support the industry in the current year corresponds approximately to the volume of 2015 in real terms.

Speaking about specific measures, which will continue to be implemented in 2016, the Prime Minister said the renewal of the fleet of wheeled vehicles, preferential loans and leases, interest rate subsidies on investment loans to companies, facilitating the regions in the purchase of municipal equipment to gas engine, support of transition to production of cars of high ecological class and the preservation of productive jobs.

The government allocates in 2016 22.5 billion rubles on the renewal of programs of support of demand for cars – recycling and trade-in, said the Minister of industry and trade of Russia Denis Manturov.

“On the program of fleet renewal through trane-in and disposal will be directed 22,5 billion rubles. Preferential leasing – 5 billion roubles. Concessional loans of 2.3 billion roubles for the year 2016, plus 9.9 billion roubles will be allocated for execution of state obligations for programs that were implemented in 2013 and 2015”, – said Manturov.

New projects

Medvedev also said that in Russia in 2016 will start two new projects – support of export of domestic cars and upgrading the fleet of ambulances.

“We’ll start (in 2016) and two new projects – support of export of the Russian cars and car components by compensating part of the transport costs and expenses to bring our equipment into compliance with the standards of the buyers, said Prime Minister of Russia. And the second is updating of Park of cars of ambulance and emergency care”.

Medvedev recalled that the project to update the fleet of ambulances was successfully implemented about 10 years ago, but then not all regions were able to continue the solution of this problem. “Therefore the decision (about starting a new program at the Federal level) is adopted, the Prime Minister stressed. –

Much support is needed will be allocated from the Federal budget. The regions will need, of course, to determine your share (co-Finance)”.