How the price of a car imported from China is formed, what potential the Russian car market has and how to reduce the cost of cars, were analyzed in detail at the recent ROAD Convention. “Chinese Automobiles” studied the materials of the conference and chose the most interesting of them.
Aleksey Podshchekoldin, President of the ROAD (Association of Russian Automobile Dealers), spoke about the peculiarities of pricing in Russia. He knows firsthand how to bring cars from China. Since, concurrently, he is the chairman of the board of directors of BN-Motors, which supplies BAW trucks to Russia and intends to organize their local assembly. More details about this project and about the machines themselves “Chinese cars” were told in a separate article.
First, the guests of the convention were told about the current state of the Russian automotive market, the prospects for potential growth and the increased share of Chinese brands. Then they presented data on the ratio of the average price of a new car (2.68 million rubles) to the average salary (70 thousand rubles). It turned out that today a Russian needs 38 monthly salaries to buy such an average new car, while ten years ago 27 would have been enough.
How is the price of a car from China
The calculation was carried out on the example of the Jetta VA3. In fact, this is a simplified analogue of the Volkswagen Polo liftback, which is well known to Russian buyers. For all calculations, the rate of 13 rubles per yuan was applied. The cost of a simple configuration was taken as a basis – 68,500 yuan (890,500 rubles). How is it that in Russia such a car costs 2.2 million rubles?
This is approximately how the price of a car from China is formed / slide from the ROAD presentation
More details about all official fees are given in the diagram. As a result, taking into account customs clearance, recycling at the new rate, VAT, issuance of a safety certificate (SBKTS) and the installation of ERA-GLONASS, 730,000 rubles “stuck” to the price of the car. After that, you need to add the cost of delivery – plus 240 thousand rubles. Thus, even before the car hit the showroom, the price increased from 890 thousand to 1.86 million rubles.
To this we must add the margin of the distributor (7-10%) and the dealer (5-7%). This is about 330 thousand rubles more. As a result, the price of a simple Jetta VA3 rises to 2.19 million rubles.
On the next slide, there are sales statistics for this model in Russia. In June 2023, 218 units were sold, in July – 376. With a decrease in official fees, the ROAD predicts a multiple increase in sales.
The sales results of the Jetta VA3 model could be much higher, and the prices could be much lower / slide from the ROAD presentation
From the above example, it can be seen that such prices for cars are not obtained due to “greedy dealers”. When importing a car, the lion’s share of the increase in price is taxes, fees, registration and delivery costs. As a result, the summary looks very simple: official fees are too high in Russia and this problem needs to be solved somehow.
How can you reduce the prices of Chinese cars in Russia
Obviously, it will not work to please buyers with a reduction in taxes and duties – this should not be expected in the foreseeable future. That is, it will be just as expensive to import finished cars. And given the fluctuations in the ruble exchange rate and other factors, the process can become even more expensive. Moreover, the president of the ROAD warned the Chinese guests of the convention that within the next year the parallel import mechanism would be “covered up”. Therefore, it is not worth relying on it when importing cars into Russia.
The way out here is seen in the following – to import cars in large quantities (with the registration of OTTS) or to organize local production. Today, the state is focusing on the second option: it would be more profitable to assemble cars within the country than to bring them ready-made. Recall that since August 1 of this year, the rates of salvage collection have increased significantly, especially for cars with engines of more than 2 liters. More about how this affected the cost, “Chinese cars” have already been told.
Comparison of prices for popular models in Russia and China / slide from the ROAD presentation
During the convention, various reasons affecting the cost of cars were discussed. For example, it is logistics. There are difficulties with the delivery of cars in all directions: sea, rail and road. The ROAD proposed to create a single platform-exchange, where various transportation conditions and their cost will be presented. They also touched upon the high cost of the ERA-GLONASS system. Now it is about 50 thousand rubles. However, even if this amount can be reduced, the difference of a couple of tens of thousands of rubles against the background of the total price of the car will not make the weather.
Market saturation will have a more noticeable effect. Since in the conditions of a shortage of cars and a relatively high demand from buyers, there is no question of reducing the cost. However, it is difficult to say when this very saturation will occur.
What to do for consumers
The volume of the Russian automotive market for the current year in ROAD was estimated at about 7.85 million buyers. Such a large figure was obtained because this includes both the market for new cars and used ones. The logic is that the average price of a used car today is 1.3 million rubles. If there were more offers for new cars in this price segment, some buyers of used cars would switch to them.
If we count in average salaries, cars have become much more expensive / slide from the ROAD presentation
On average, over the past 10 years, the market for new cars in Russia was at the level of 1.8 million units. The current forecast is that by the end of 2023, about 950,000 new cars will be sold. That is, there is considerable potential for further growth.
The conclusion for buyers, as before, is simple: if you need a new car, then you should not postpone the purchase. Over the past months, the prices of new cars have increased repeatedly, as we talked about in several articles.
This one or any other Chinese you can order a car from our partners on the website www.ja-dv.ru/china
Roman YAROVOY (@rvr50)
If you find an error or want to report something to the editors of the site, please select a piece of text and press Ctrl + Enter
2023-09-03 08:00:50
#price #car #imported #China #formed #concrete #figures #Chinese #cars
