Why parallel imports won’t fill Russia with foreign cars
- May 23, 2022
- 0
Recently, domestic officials and the media spend a lot of time organizing parallel imports of foreign cars and spare parts to Russia. The AvtoVzglyad portal tells why Russian
Recently, domestic officials and the media spend a lot of time organizing parallel imports of foreign cars and spare parts to Russia. The AvtoVzglyad portal tells why Russian car owners should not count on it.
Some excitement among Russian motorists has been sparked by recent reports that authorities have allowed so-called parallel imports of cars and parts for them. That is, now the previously considered “gray” schemes for importing cars into Russia have actually been legalized – official representative offices by intermediary companies are bypassed. Thus, it is planned to return to the domestic market of cars of brands that have officially announced the suspension or curtailment of their business on the territory of the Russian Federation.
The accompanying government decree lists almost all car brands that have ever been present in Russia for at least a short period – with the exception of the “Chinese” and “Koreans”: Land Rover, Jeep, Jaguar, Bentley, General Motors, Cadillac, Chevrolet, Mitsubishi , Renault, Mercedes-Benz, Maybach, slim, BMW, Mini, Volkswagen, Skoda, Porsche, Audi, Toyota, Lexus, Lamborghini, Ferrari, MAN, Scania, Isuzu, Maserati, Aston Martin, Subaru, Suzuki, Honda, Infiniti, Nissan, Volvo, DAF, Rolls Royce, Bugatti.
In practice, perhaps only for the broad masses of domestic oligarchs, the government decree on parallel imports is truly a gift. They will not be left without the usual Bentley and BMW! Yes, the Russian “officials” crave absolutely shameless prices for a “premium” car. And that’s why even the rich who are still in Russia are now “scratching their turnips”, looking at tens of millions of rubles in the price lists of official dealers. And here the native government actually allows the entry of “leftists”. The beauty!
But for millions of domestic car owners, those who did not buy luxury cars, but cars from the mass, budget and mid-price segment, parallel imports will not play a role at all. The fact is that last year the Russian car market showed at least only a result of almost 1.7 million new cars sold. At present, anti-Russian sanctions have practically disabled both the production of cars in Russia and the import of foreign cars from abroad. The need of Russians for these 1.7 million new cars a year has not disappeared. Simply put, firstly, prices have risen and secondly, they have become physically scarce in the market.
However, opening the “gates” to vehicle imports in the form of parallel imports, if it will bring prices down on the Russian market, will be insignificant. And the supply of new foreign cars in our country will not grow because there is no physical in the world, and millions of additional mass-segment cars are not expected to be imported into Russia by anyone. In Asia, their production is hampered by the problem of Chinese coronavirus lockdowns and the associated lack of automotive components, and not just semiconductors, but a wide range of spare parts in general.
In Europe, car factories are also feeling bad, not only because of “Asian” short deliveries, but also because of the problems of Ukrainian component manufacturers, as well as a sharp rise in the prices of energy and raw materials for the chemical industry, caused by a jump in the cost of natural gas. Thus, for an ordinary Russian car owner, parallel import will only help to facilitate the search for spare parts for his old car. It does not provide the opportunity to buy a new car at a more or less acceptable price.
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photo globallookpress.com
photo globallookpress.com
Some excitement among Russian motorists has been sparked by recent reports that authorities have allowed so-called parallel imports of cars and parts for them. That is, now the previously considered “gray” schemes for importing cars into Russia have actually been legalized – official representative offices by intermediary companies are bypassed. Thus, it is planned to return to the domestic market of cars of brands that have officially announced the suspension or curtailment of their business on the territory of the Russian Federation.
The accompanying government decree lists almost all car brands that have ever been present in Russia for at least a short period – with the exception of the “Chinese” and “Koreans”: Land Rover, Jeep, Jaguar, Bentley, General Motors, Cadillac, Chevrolet, Mitsubishi , Renault, Mercedes-Benz, Maybach, slim, BMW, Mini, Volkswagen, Skoda, Porsche, Audi, Toyota, Lexus, Lamborghini, Ferrari, MAN, Scania, Isuzu, Maserati, Aston Martin, Subaru, Suzuki, Honda, Infiniti, Nissan, Volvo, DAF, Rolls Royce, Bugatti.
In practice, perhaps only for the broad masses of domestic oligarchs, the government decree on parallel imports is truly a gift. They will not be left without the usual Bentley and BMW! Yes, the Russian “officials” crave absolutely shameless prices for a “premium” car. And that’s why even the rich who are still in Russia are now “scratching their turnips”, looking at tens of millions of rubles in the price lists of official dealers. And here the native government actually allows the entry of “leftists”. The beauty!
But for millions of domestic car owners, those who did not buy luxury cars, but cars from the mass, budget and mid-price segment, parallel imports will not play a role at all. The fact is that last year the Russian car market showed at least only a result of almost 1.7 million new cars sold. At present, anti-Russian sanctions have practically disabled both the production of cars in Russia and the import of foreign cars from abroad. The need of Russians for these 1.7 million new cars a year has not disappeared. Simply put, firstly, prices have risen and secondly, they have become physically scarce in the market.
However, opening the “gates” to vehicle imports in the form of parallel imports, if it will bring prices down on the Russian market, will be insignificant. And the supply of new foreign cars in our country will not grow because there is no physical in the world, and millions of additional mass-segment cars are not expected to be imported into Russia by anyone. In Asia, their production is hampered by the problem of Chinese coronavirus lockdowns and the associated lack of automotive components, and not just semiconductors, but a wide range of spare parts in general.
In Europe, car factories are also feeling bad, not only because of “Asian” short deliveries, but also because of the problems of Ukrainian component manufacturers, as well as a sharp rise in the prices of energy and raw materials for the chemical industry, caused by a jump in the cost of natural gas. Thus, for an ordinary Russian car owner, parallel import will only help to facilitate the search for spare parts for his old car. It does not provide the opportunity to buy a new car at a more or less acceptable price.
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PORTAL “AVTOVGLYAD” IN TELEGRAM
Source: Avto Vzglyad
I’m Sandra Torres, a passionate journalist and content creator. My specialty lies in covering the latest gadgets, trends and tech news for Div Bracket. With over 5 years of experience as a professional writer, I have built up an impressive portfolio of published works that showcase my expertise in this field.
