More than 350 billion rubles were allocated to support the Russian automotive industry in 2024

More than 350 billion rubles were allocated to support and develop the Russian automotive industry in 2024. The funds were used to subsidize production facilities, including those that were abandoned by foreign companies. This was announced by Russian Prime Minister Mikhail Mishustin.

"As a result, we have already launched ten modern sites today. These are sites in Tolyatti, Izhevsk, Moscow, St. Petersburg, Tula and Kaluga regions and in a number of other regions, including those where electric vehicles are assembled," the head of government said during a strategic session on the development of the industry on Tuesday.

In addition, about 43 billion rubles were allocated to stimulate the demand of car buyers in 2024 for preferential loans and leasing. According to Mishustin, thanks to such state support, the production of vehicles last year, including commercial vehicles, increased by almost a third, to almost 830 thousand units.

The Head of government noted that the Russian market ranked fourth in Europe in terms of the number of new cars sold, and it was supported by car shipments from friendly countries. He stressed that in order to strengthen the country's technological sovereignty, it is important, among other things, to increase the production of machines powered by alternative fuels — electricity and natural gas.

The devil is in the details: the domestic car industry remains not entirely Russian

Localization of cars assembled in the Russian Federation turned out to be significantly lower than the target indicators

Earlier in the day, First Deputy Prime Minister Denis Manturov announced that AvtoVAZ would reduce its plan for 2025. He stressed that this would happen for reasons beyond the control of the domestic automaker. The day before, the media reported that AvtoVAZ may reduce the production plan for 2025 by 20%, to 400 thousand cars. The reasons for the drop in sales were a sharp decline in consumer and car loans, as well as a high level of overstocking in the retail network.