The head of the Ministry of Industry and Trade, Denis Manturov, recently stated that car prices would fall by the end of 2022. A response to that claim came from Viktor Pokhmelkin, who leads the Russian Bikers Movement, who argued in a recent interview with Moscow’s radio channel that Manturov’s forecast is not credible.
Pokhmelkin insisted there are no solid foundations for a market-wide price stabilization in Russia. He described Manturov’s outlook as artificial, suggesting that the market cannot sustain a scenario where buyers and sellers agree to a lower price when demand remains uncertain and consumer purchasing power has declined.
According to Pokhmelkin, the current environment shows a sharp drop in the likelihood that customers will purchase cars from showrooms, leading to a scarcity in supply that typically pushes prices higher rather than lower. He argued that price restraint, if any, is more likely tied to the reduced income of Russian buyers than to any deliberate market intervention.
He added that similar declines in consumer income have occurred before without yielding broad price cuts. In those instances, prices not only failed to drop but began to rise again once the market adjusted. While the statement about easing prices carries an optimistic tone, Pokhmelkin said the rationale behind it does not hold up under scrutiny.
At the start of July, Manturov reiterated that the car price situation in Russia was gradually stabilizing and that price tags would trend downward over the course of the year. Pokhmelkin’s perspective remains skeptical, emphasizing that genuine market improvement would depend on sustained increases in purchasing power and a more balanced supply-demand dynamic rather than short-term adjustments.
For readers in North America, where vehicle pricing dynamics often hinge on different fiscal and regulatory pressures, the broader takeaway is clear: price declines in a volatile market are contingent on real improvements in consumer demand and accessible financing, rather than policy rhetoric alone. Observers note that in markets with meaningful wage growth and stable credit, prices can eventually ease, but in conditions of prolonged uncertainty, any supposed stabilization might be temporary, with discounts and incentives offering only brief relief.
In sum, the discussion highlights a fundamental tension between optimistic government projections and market realities. While officials may anticipate a gradual softening of prices, industry watchers remain cautious, pointing to credit conditions, inventory levels, and consumer confidence as the true levers that will determine whether lower sticker prices become a lasting trend rather than a fleeting headline.