ANNOUNCEMENT 04 Mar 2009

In March 2009, the government of Russia announced a change in production support.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE



the Russian Official Newspaper from 27 January 2009 # 4835 - http://www.rg.ru/2009/01/27/zd-auto.html
Government Decree 194 from 4 March 2009- http://www.rg.ru/2009/03/11/postanovlenie-dok.html


Inception date: 11 Mar 2009 | Removal date: 09 Dec 2009
Still in force

Production subsidy

In January 2010, the Russian Railways (100% state owned company), AutoVaz and RailTransAuto have signed an agreement according to which the Russian domestic car producerscan transfer their light cars to the Russian Far East according to the reduced rates. The Federal Service on Tariffs has agreed with this arrangement.
The special discount is valid for the distance from 1,000 km to 3,000 km. Thus, AutoVaz agreed to increase yearly transfer from current 54,000 cars to 350,000 cars. This will save AutoVaz up to 500 million rubles (12.5million Euros) a year.
The government decree # 194 from 4 March 2009 introduces government subsidies up to 2 billion rules (50 Million Euros) to transfer domestically produced cars to the Russian Far East for free for the car manufacturers. The list of the autos also includes foreign cars produced at the territory of the Russian Federation such as Ford, Fiat, Kia and others.

 

AFFECTED SECTORS