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Russian car sales will rise 5% in 2013, PwC says



Admin23.01.2013г 

Russian car sales will rise 5% in 2013, PwC says

Russian car sales are likely to increase by 5 percent in 2013 to around 2.9 million, PricewaterhouseCoopers forecast on Tuesday.

The figure is a slowdown from the previous year, when sales rose 10 percent to 2.76 million, but a stark contrast to recession-bound Europe where car sales slid to a 17-year low.

"We expect next year we will see modest, measured growth," said Stanley Root, PwC's automotive industry leader for Russia, adding that the market was showing signs of steadying after a period of significant expansion.

The accountancy firm sees growth slowing after next year to 3 percent annually from 2014 to 2017, eventually reaching zero growth by 2025 by which time it estimates the market will have reached its maximum level of annual sales of 3.7 million.

PWC predicts that growth in 2013 will be largely driven by foreign car brands produced in Russia, which are slated to see a 9 percent rise to 1.33 million sales. Imports of foreign brands are expected to rise 3 percent to 990,000, while Russian car brand sales will be flat at 580,000 units.

Root said that a new "recycling fee" imposed only on imported vehicles is expected to slow growth in the sector.

He added that the development of the car scrappage industry was "key" to future growth in Russia, where owners keep their cars on the road for some 16 years, much longer than the European average.

European new-car registrations fell 7.8 percent to 12.5 million vehicles in 2012, the lowest level since 1995, recent figures by the European automotive industry association ACEA showed.

Read more: autonews.com




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