Kremlin announces possibly of Russia welcoming back foreign car makers
Date
11/20/2024 1:36:22 AM
(MENAFN) The Russian government expressed its openness to the return of foreign automakers that left the country due to sanctions, with Kremlin spokesman Dmitry Peskov stating that such a move would increase competition, improve product quality, and lower prices for Russian consumers. Peskov’s comments followed reports that Japan might relax its restrictions on car sales to Russia.
At a press briefing in Moscow, Peskov referred to the potential move as "pragmatic," noting that many countries that impose sanctions later act in their own interests and issue exceptions when it becomes financially beneficial. Japanese car manufacturers, including Nissan, Toyota, Honda, and Suzuki, halted exports to Russia and suspended production there after the Ukraine conflict escalated in 2022. As a result, the share of Japanese cars in the Russian market fell from 18% to 6% in 2022.
In July 2023, Japan introduced a ban on the export of new and used electric and hybrid vehicles to Russia, as well as cars with larger combustion engines. However, recent reports suggest that Russian buyers have found ways to bypass these restrictions, with certain Japanese cars now available at auctions. Despite the ongoing sanctions, Russian dealers and exporters have reportedly found loopholes to continue trade.
Peskov noted that the return of foreign automakers would foster competition with both domestic and Chinese firms, ultimately benefiting Russian consumers with better products at lower prices. Japanese vehicles, particularly in the used car segment, have been popular in Russia, with data showing that as of mid-2023, over a third of the country's vehicles were Japanese-made.
MENAFN20112024000045015687ID1108904904
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.