In January 2014, the government of the Russian Federation announced a change in private-sector financial support.



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The Russian Government (2014). ПОСТАНОВЛЕНИЕ ПРАВИТЕЛЬСТВА РФ ОТ 15 ЯНВАРЯ 2014 Г. N 32 'ОБ УТВЕРЖДЕНИИ ПРАВИЛ ПРЕДОСТАВЛЕНИЯ СУБСИДИЙ ИЗ ФЕДЕРАЛЬНОГО БЮДЖЕТА РОССИЙСКИМ ПРОИЗВОДИТЕЛЯМ КОЛЕСНЫХ ТРАНСПОРТНЫХ СРЕДСТВ НА КОМПЕНСАЦИЮ ЧАСТИ ЗАТРАТ НА СОДЕРЖАНИЕ РАБОЧИХ МЕСТ В РАМКАХ ПОДПРОГРАММЫ "АВТОМОБИЛЬНАЯ ПРОМЫШЛЕННОСТЬ" ГОСУДАРСТВЕННОЙ ПРОГРАММЫ РОССИЙСКОЙ ФЕДЕРАЦИИ "РАЗВИТИЕ ПРОМЫШЛЕННОСТИ И ПОВЫШЕНИЕ ЕЕ КОНКУРЕНТОСПОСОБНОСТИ"'. (Resolution of the Government of the Russian Federation of January 15, 2014 No. 32 'On approval of the rules for granting subsidies from the federal budget to Russian manufacturers of wheeled vehicles for partial compensation of costs for preserving jobs under the subprogramme "Automotive Industry" of the state programme of the Russian Federation "Development of Industry and Increasing Its Competitiveness"'). Available at

Inception date: 15 Jan 2014 | Removal date: open ended

Financial grant

With Decree 32 of 15 January 2014, the Russian government approved the allocation from the federal budget of 50.4 billion Roubles (USD 1.4 billion) in 2014; 54.1 billion (USD 1.5 billion) in 2015; and 57.9 billion (USD 1.6 billion) in 2016 to Russian manufacturers of motor vehicles for partial coverage of their expenses for jobs preservation.
The announced official state goals to be achieved with this state subsidy are:

  • to raise the competitiveness of the local automobile industry;
  • to achieve a share of Russian-made motor vehicles on the domestic market of 80% for cars, 90% for commercial minivans; 85% for trucks; and 99% for buses;
  • to stimulate automotive manufacturing in the Russian regions, including Siberia and the Russian Far East.
  • to increase the value added in the sector to 48% (2.2 trillion roubles).

Indirectly, this state initiative aims to compensate the Russian manufacturers of motor vehicles for the loss of competitiveness provoked by the introduction of waste disposal (scrappage) fee (see related GTA measure below).