The Russian Union of Industrialists and Entrepreneurs (RSPP) did not support the bill on the localization of passenger cars for transport. According to aggregators, this can lead to companies and private traders entering the “gray” zone or leaving the market, writes Vedomosti.
Union representatives asked the authors of the bill to allocate additional subsidies for the purchase of cars that meet the criteria, thereby increasing the “interest” of automobile factories not only in producing cars, but also in updating rolling stock of taxis.
They also proposed limiting the maximum margin in localized transportation. Affordable cars are already scarce and prices continue to rise, so this demand will only make the situation worse for market participants. Because of this, some of them will enter the “gray” zone or suspend their jobs, and supply and demand will eventually decline, the report said.
The publication’s government source is confident that the modifications will help stimulate demand for Russian-made cars. And the higher the level of localization in the market, the lower the costs of purchasing and maintaining a fleet of taxis.
In July, the bill was criticized by the National Taxi Council association. The organization asked Prime Minister Mikhail Mishustin not to force companies in the passenger taxi segment to purchase only vehicles located in Russia.
- In early 2023, the head of the Economic Policy Committee of the Federation Council, Andrei Kutepov, proposed giving the government the right to establish requirements for the level of localization of cars used as taxis.
- According to plans, this should further stimulate demand for domestic cars from the taxi sector.
- This issue was subsequently discussed at the Presidium of the State Council of the Russian Federation in early April. Following its results, President Vladimir Putin ordered the government to consider by August 1 the issue of developing requirements for the localization of taxis and car-sharing, taking into account “the possible volume of their production by domestic car factories “.
The NST believes that the proposal is more reminiscent of an initiative to redistribute the transport market: “Businessmen cannot be forced to buy something that is not for sale and, if it is, at a price that will lead them to bankruptcy.” “.
Author:
Karina Pardaeva
Source: RB
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