The Russian Association of Automobile Dealers (ROAD) sent a proposal to the government to postpone the indexation of the recycling fee for cars for five years. The appeal is available on socialbites.ca.
“With the planned increase in the recycling fee by 2030, the number of Russians who can afford to buy new cars may fall to 5-7%, while new car sales will not exceed 600 thousand units per year. The letter from the Highway Traffic Inspectorate to the Ministry of Industry and Trade states that it will make the development of new spare parts and car production meaningless.
In addition, dealers expect a drop in demand due to increased recycling fees, which will lead to a wave of bankruptcies. Transport and private vehicles will also become more expensive, which will lead to increased inflation.
“The increase in the size of the recycling fee proposed in the draft decision does not comply with the objectives set by the law for its implementation and the procedure for using the fee, is in no way related to the real costs of recycling and is inherently an objection, stating that it will impose an additional and prohibitive tax on vehicles.
In this context, ROAD proposed to postpone the increase in recycling collection until a full analysis of all economic and legal risks is completed. In the event of the law being approved, the Association called for a five-year postponement of its entry into force in order to avoid a sharp increase in car prices. As a result, ROAD called for the adoption of a unified legal act that would determine the amount of tax benefits (including compensation for disposal fees) for market participants.
The Dealers Association also made similar calls to the Chamber of Commerce and Industry of the Russian Federation and the Union of Industrialists and Entrepreneurs of Russia.
Previously Lada Dealers Association appealed To the government to request an increase in the recycling fee for cars.
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Source: Gazeta
Anika Rood is an author at “Social Bites”. She is an automobile enthusiast who writes about the latest developments and news in the automobile industry. With a deep understanding of the latest technologies and a passion for writing, Anika provides insightful and engaging articles that keep her readers informed and up-to-date on the latest happenings in the world of automobiles.