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Report – Russia could deny access to imported cars

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Report – Russia could deny access to imported cars

The Vedomosti daily newspaper reported that Russia could move to strengthen retaliatory actions against Western nations if both the European Union and the US impose new sanctions.

Russia’s new ban could extend to imported cars from those countries, as the nation is on a political and economical stand off over the situation in its neighboring country, Ukraine. The US and EU have commended the alleged implication of Russia, imposing many sanctions (with the financial and energy sectors included) and even blacklisting several Russian citizens who are connected to President Vladimir Putin.

According to the Russian paper, passenger car imports during the first half of the year accounted for 27% of new car sales, while trucks and busses had 46% and 13% respectively. The Vedomosti added, citing unnamed sources, that the proposed sanctions to stop all or just parts of auto imports have been already sent to Putin but no decision has been taken yet. The new restrictions are mulled as a response if the Western countries impose themselves new economic limitations.

The newspaper stressed those carmakers that already manufacture cars locally, such as Ford, Volkswagen, Ford, Renault, Toyota and Hyundai would not be affected by the ban. Russian sanctions so far extend to countries from the European Union, the United States, Australia, Canada and Norway over some agricultural imports. The country’s officials also seem ready to impose new measures in the aircraft and shipbuilding industries, besides the automotive sector.

Via Reuters

by Aurel Niculescu (my Google+) - Monday, August 18th, 2014 - filed under Industry, News. Image credit: .
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