Used car market dynamics in Russia amid supply gaps and German-brand strength

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The second-hand car market in Russia faces notable strain, according to industry experts cited by Kommersant. In July, demand for used vehicles outpaced supply by roughly 5%, a gap that appears to widen against the backdrop of stronger new-car sales. This shift signals tighter inventories and a shift in buyer behavior as more people look to substitute new-car purchases with available pre-owned options.

Analysts note that the shortage during July and August affected European, Japanese, and Korean models particularly, limiting options for buyers seeking popular makes and configurations. Some owners chose to delay selling because they could not promptly secure a suitable replacement, delaying turnover in the secondary market. |(Kommersant) The situation was described by Roman Titov, Avilona’s deputy general manager for used cars, who highlighted the constrained supply across key international brands in the recent window.

Industry leaders from Avtodom and Autospetscenter also warned that specific segments of the market are experiencing tighter conditions. Andrei Grishakov, who directs the used-car division at these firms, projected continued growth in demand, underscoring the persistence of a seller-friendly environment while buyers navigate scarcer stock.

Looking back to July, German brands remained the most sought-after in the secondary market, with Volkswagen leading the way. VW accounted for nearly half of all used-car sales, followed by Opel, Audi, BMW, and Mercedes-Benz in the top tier. Experts estimate that German makes represented about 12% of the entire Russian secondary market, reflecting strong loyal demand among buyers who value engineering and brand prestige.

From price bands, Russians purchasing used cars from Germany typically spent between 500 thousand and 1 million rubles, a segment that attracted about a third of buyers. Another sizable group chose vehicles priced between 1 million and 1.5 million rubles, while smaller shares bought cars under 500 thousand rubles or above 2 million rubles. This spread illustrates a broad spectrum of consumer budgets and the diverse mix of vehicles preferred in the used-car market.

Amid these dynamics, there is also attention on policy elements that influence the market. There was public debate around recycling fees for cars in Russia, with some voices expressing resistance to further increases, a factor potentially affecting both supply decisions from owners and the broader cost landscape for future transactions. (Kommersant)

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