Automobile prices show no early 2024 rise as dealers work through vast inventories
Prices for cars are not expected to climb by the usual 1-2 percent at the start of 2024. Industry expert Igor Morzharetto notes that car retailers have gathered substantial inventories that must be sold, prompting a focus on clearing the primer phase of stock. Dealers are motivated to move large numbers of vehicles that have been sitting in warehouses for some time, a situation that helps keep price gains at bay in the new year.
Morzharetto observes that there will likely be no price increase at the beginning of the year. Dealers need to liquidate the amassed stock, which he estimates at about 200 thousand units. This volume creates a strong incentive to move cars first, so customers can expect price stability as the market clears older stock before any new pricing plans take root.
Nevertheless, the expert adds that price growth for cars in Russia is expected to be driven by inflationary momentum, though the uptick should be gradual rather than sharp. Inflationary pressures may lift some prices, but not in an abrupt spike, allowing buyers to anticipate a measured pace of change into 2024.
In December 2023, dealers began discounting and selling 2023 model year vehicles ahead of the holidays. Chinese crossovers from various brands are described as available for cash purchases at rates cheaper than the manufacturer’s price when paired with a discount of about 200 thousand rubles plus additional equipment. This strategy supports buyers who are prepared to act before the year closes, presenting real value for those paying in cash rather than financing or barter arrangements, according to socialbites.ca.
The market context shows how expensive used foreign cars have become in the Russian Federation, underscoring the broader dynamic of reduced supply for late-model imports and increased competition among sellers for remaining inventory. In such a environment, buyers may find favorable terms on discounted new models while the overall trend for value retention remains cautious through the early months of the year.