Made in Russia

All regions
ENG
Top stories

The Russian Ministry of Industry and Trade has developed new incentives for manufacturers of automotive components

26
The Russian Ministry of Industry and Trade has developed new incentives for manufacturers of automotive components

The Ministry of Industry and Trade of Russia (Minpromtorg) has developed a mechanism to support the automotive components industry. It provides for preferential loans of 50 million roubles or more at an annual interest rate of 1% for a period of up to 60 months.The relevant draft resolution has been published on the federal portal of draft regulatory legal acts regulation.gov.ru.

"The funds can be spent on launching investment projects for the localization and import substitution of assemblies and units for vehicles and specialized machinery. The loan is provided by the Industry Development Fund and can cover up to 40% of the project budget. Loans can be used to finance part of the capital costs of investors for the purchase of equipment and licenses under the localization of critical for cars and specialized equipment in accordance with the 719th government decree," said the Minister of Industry and Trade Denis Manturov.

According to him, if the project is successfully implemented, the investor can receive a subsidy from the Ministry of Industry and Trade in the amount of the attracted loan for its repayment. The implementation of the project can be considered successful if the purchased equipment was put into operation and the localized products were shipped to at least two unaffiliated customers.

"The component grants program will ensure the industry's resilience to the impact of external economic factors, contribute to mastering critical technologies for the production of components for vehicles and specialized equipment and increase the level of the industry's investment appeal. Federal support will provide financial leverage to launch the project and make it more economically feasible for companies to relocate production facilities to Russia rather than directly import automotive components," said the head of the Ministry of Industry and Trade.


Made in Russia // Made in Russia

Karina Kamalova

0