According to Vadim Adiev, the head of the non-profit organization Union of Automotive Market Professionals, parallel imports and the Chinese car industry were unable to meet demand in 2022, and the Russian car market faced persistent instability. Car dealer customers who could not secure a new vehicle shifted their attention to the secondary market, yet demand outpaced supply there as well, driving prices higher and creating a tight market environment that frustrated many buyers and sellers alike, a seasoned observer noted.
He added that many car owners were reluctant to part with their vehicles, often choosing to keep them rather than accept what they perceived as inadequate offers in the current market. This reluctance helped sustain higher prices and slowed any potential normalization in trade-in values as supply chains remained constrained and consumer demand stayed robust for a wide range of models.
*This material was created by a person who has the status of a foreign agent in the Russian Federation.
In his assessment, 2023 would see continued upward pressure on vehicle values in Russia due to ongoing shortages. The market would still contain a substantial amount of “car junk” for sale, including vehicles that had sustained significant damage, taxis with irregular mileage, collateralized loans, or restrictions from traffic authorities. The expert believed prices would edge higher into early spring before stabilizing and resuming a gradual rise similar to levels seen before 2020, reflecting the persistent scarcity that characterized the market.
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Source: Autocode