Spending on new cars in Russia plunged 52 in 2022 Autostat
Used cars accounted for almost 75 of all sold in 2022
New car sales down on lower production, higher prices
This content was produced in Russia where the law restricts coverage of Russian military operations in Ukraine

MOSCOW, Feb 17 Reuters Spending on new cars in Russia more than halved last year as the auto industry felt the full force of Western sanctions over the conflict in Ukraine, with production plunging, prices soaring and buyers switching to cheaper used models.

While analysts continue to debate the overall effectiveness of economic curbs on Russia, there can be no doubt they have hit hard in its car industry, which was heavily reliant on foreign manufacturers and imported parts.

Spending on new cars slumped 52 to 1.5 trillion roubles 20.4 billion last year, while the number of new cars sold tumbled by 58.8. Car production also slumped to its lowest since the 1991 collapse of the Soviet Union as Western automakers halted production and sold factories.

Overall spending on new and used passenger cars dropped over 15 in 2022, as inflation pushed up prices and drove living standards down, data from analytical agency Autostat shows, despite a 14 rise in spending on used cars.

That left used cars accounting for almost three quarters of all cars sold, up from 55 in 2021, the data shows.

Money flowed into the used cars market as prices for secondhand cars held up, while at the same time the structure…