Exclusive Content:

Nutanix launches a tool to estimate the carbon footprint and energy consumption of your IT environment

The new tool estimates annual electricity consumption and emissions...

Windows 11 is at it again, smashing AMD Adrenaline with its latest update

Windows 11 updates are a real lottery. Just...

Mijia Refrigerator Three Door 303L Ice Making Edition and the first product of starter refrigerator with dispenser

XiaomiThe well-known manufacturer of smartphones and smart devices introduced...

The Ministry of Industry and Trade decided to spare the Russian car industry from the Chinese

It seems that the Russian authorities have finally drawn practical conclusions from the story of Russia’s de facto “cutting off” from the European, Japanese and Korean car industries. But it seems that domestic automakers are not at all happy about this.

The Russian authorities have long ago turned the “use fee” and the “degree of localization” into a lever that drove the world’s auto giants to the territory of our country. The higher the localization, the less the car manufacturer spends in the long run on the recycling fee for the benefit of the state. To understand the sequence of numbers, let’s say that for a new passenger car with an engine capacity of 1-2 liters, the amount of the recycling fee is 178,000 rubles. For a car with a 2-3 liter engine – more than 280,000 rubles, and so on. The car supplier (importer or manufacturer) is forced to include these amounts in the final cost price of their goods, losing price advantages over competitors.

The Ministry of Industry and Commerce calculates the degree of localization in points. 2500 points scored – the state will refund the full recycling fee to you. Until recently, the car plant in Russia could get most of these points by stamping body parts themselves, their welding, painting and other things. When car parts suppliers began to leave Russia due to sanctions, it suddenly became clear that a highly locally painted body with domestic wheels and interior mats could not become a full-fledged car. Because it also needs an engine, a gearbox, electronics and a lot of other “little things”. The presence of which is strictly “tied” to the input.

But for them, localization points were almost not counted. Therefore, the domestic automotive industry has adapted to purchase these components from suppliers of the same Europe and Asia. But the lesson of greater dependence on them, it seems, was not in vain. Now the Ministry of Industry and Trade has enforced the localization in Russia not only of the “body”, but also of engines (including their components), transmissions, electronics and all other critical components of the car. To do this, the ministry decided to revise its “point system”. If the plans of the Ministry of Industry and Trade are put into practice, the “bodywork” will no longer earn Russian automakers about 1,700 points – of the 2,500 points needed to obtain a full refund of the salvage fee from the state receive.

It is characteristic that KamAZ was the first to be outraged by this.

– I think this is wrong. Now we have to start all over again: a new investment cycle, a new technology cycle. And we say we will redistribute to other auto parts. Then no one will bother with the localization of the body, will not use our metal. That is, the basic technologies must remain, – said Sergey Kogogin, CEO of KamAZ, at the conference “Digital Industry of Industrial Russia”.

The Kama Automobile Plant clearly understood that the innovation of the Ministry of Industry and Commerce would affect him most of all.

For example, at the recently ended exhibition CTT-2023, the plant showed its cars of the K5 family. They have a gearbox and a “razdatka” – from the Chinese Fast Gear. Bridges are Chinese HanDe. Pneumatics – from the Chinese SORL, hydraulics – Hyva (also from China). From there, electronics, fuel equipment, a turbine … Meanwhile, the salvage tax on trucks is even higher than on cars. There, from 300,000 rubles, everything is just beginning and reaches 1.35 million for a vehicle with a gross weight of more than 20 tons!

We suspect that after the innovations of the Ministry of Industry and Trade, AVTOVAZ localization indicators will noticeably decrease. Especially if you remember that even the door hinges for LADA Niva were once bought in Europe, and only relatively recently there was a transition to domestic ones. What can we say about electronics, details of power units and so on. In their nomenclature, you can definitely find a bunch of Chinese.

We think that the officials of the Ministry of Industry and Commerce, who devised the reform of the “points system”, will most likely come under heavy lobbying pressure: the top management of KamAZ and AvtoVAZ have plenty of opportunities in this sense. But we will hope that it is not the lobbyists that will win, but the state approach to national interests in the auto industry. And in Russia, albeit under duress, a more or less self-sufficient auto parts industry will appear. Without Chinese “roots”.

globallookpress.com’s photo
globallookpress.com’s photo

The Russian authorities have long ago turned the “use fee” and the “degree of localization” into a lever that drove the world’s auto giants to the territory of our country. The higher the localization, the less the car manufacturer spends in the long run on the recycling fee for the benefit of the state. To understand the sequence of numbers, let’s say that for a new passenger car with an engine capacity of 1-2 liters, the amount of the recycling fee is 178,000 rubles. For a car with a 2-3 liter engine – more than 280,000 rubles, and so on. The car supplier (importer or manufacturer) is forced to include these amounts in the final cost price of their goods, losing price advantages over competitors.

The Ministry of Industry and Commerce calculates the degree of localization in points. 2500 points scored – the state will refund the full recycling fee to you. Until recently, the car plant in Russia could get most of these points by self-stamping body parts, their welding, painting and other things. When car parts suppliers began to leave Russia due to sanctions, it suddenly became clear that a highly locally painted body with domestic wheels and interior mats could not become a full-fledged car. Because it also needs an engine, a gearbox, electronics and a lot of other “little things”. The presence of which is strictly “tied” to the input.

But for them, localization points were almost not counted. Therefore, the domestic automotive industry has adapted to purchase these components from suppliers of the same Europe and Asia. But the lesson of greater dependence on them, it seems, was not in vain. Now the Ministry of Industry and Trade has enforced the localization in Russia not only of the “body”, but also of engines (including their components), transmissions, electronics and all other critical components of the car. To do this, the ministry decided to revise its “point system”. If the plans of the Ministry of Industry and Trade are put into practice, the “bodywork” will no longer earn Russian automakers about 1,700 points – of the 2,500 points needed to obtain a full refund of the salvage fee from the state receive.

It is characteristic that KamAZ was the first to be outraged by this.

– I think this is wrong. Now we have to start all over again: a new investment cycle, a new technology cycle. And we say we will redistribute to other auto parts. Then no one will bother with the localization of the body, will not use our metal. That is, the basic technologies must remain, – said Sergey Kogogin, CEO of KamAZ, at the conference “Digital Industry of Industrial Russia”.

The Kama Automobile Plant clearly understood that the innovation of the Ministry of Industry and Commerce would affect him most of all.

For example, at the recently ended exhibition CTT-2023, the plant showed its cars of the K5 family. They have a gearbox and a “razdatka” – from the Chinese Fast Gear. Bridges are Chinese HanDe. Pneumatics – from the Chinese SORL, hydraulics – Hyva (also from China). From there, electronics, fuel equipment, a turbine … Meanwhile, the salvage tax on trucks is even higher than on cars. There, from 300,000 rubles, everything is just beginning and reaches 1.35 million for a vehicle with a gross weight of more than 20 tons!

We suspect that after the innovations of the Ministry of Industry and Trade, AVTOVAZ localization indicators will noticeably decrease. Especially if you remember that even the door hinges for LADA Niva were once bought in Europe, and only relatively recently there was a transition to domestic ones. What can we say about electronics, details of power units and so on. In their nomenclature, you can definitely find a bunch of Chinese.

We believe that the officials of the Ministry of Industry and Commerce, who came up with the reform of the “points system”, will most likely come under heavy lobbying pressure: the top management of KamAZ and AvtoVAZ has enough opportunities in this sense . But we will hope that it is not the lobbyists that will win, but the state approach to national interests in the auto industry. And in Russia, albeit under duress, a more or less self-sufficient auto parts industry will appear. Without Chinese “roots”.

Source: Avto Vzglyad

Latest

Nutanix launches a tool to estimate the carbon footprint and energy consumption of your IT environment

The new tool estimates annual electricity consumption and emissions...

Windows 11 is at it again, smashing AMD Adrenaline with its latest update

Windows 11 updates are a real lottery. Just...

Mijia Refrigerator Three Door 303L Ice Making Edition and the first product of starter refrigerator with dispenser

XiaomiThe well-known manufacturer of smartphones and smart devices introduced...

Newsletter

Don't miss

Nutanix launches a tool to estimate the carbon footprint and energy consumption of your IT environment

The new tool estimates annual electricity consumption and emissions...

Windows 11 is at it again, smashing AMD Adrenaline with its latest update

Windows 11 updates are a real lottery. Just...

Mijia Refrigerator Three Door 303L Ice Making Edition and the first product of starter refrigerator with dispenser

XiaomiThe well-known manufacturer of smartphones and smart devices introduced...

Nutanix launches a tool to estimate the carbon footprint and energy consumption of your IT environment

The new tool estimates annual electricity consumption and emissions using Nutanix Validated Designs. The Nutanix Carbon and Power Estimator provides users with reports that provide...

Windows 11 is at it again, smashing AMD Adrenaline with its latest update

Windows 11 updates are a real lottery. Just a few weeks ago we saw that KB 5030219 broke said OS, and today we...

Mijia Refrigerator Three Door 303L Ice Making Edition and the first product of starter refrigerator with dispenser

XiaomiThe well-known manufacturer of smartphones and smart devices introduced the first refrigerator with an ice-making function in China: it is interested in this model...

LEAVE A REPLY

Please enter your comment!
Please enter your name here