Andrey Kutepov: the automotive industry is important in terms of innovation and technological development of the economy

The senator held a round table conference on measures to support the domestic automotive industry development.

 

The Chairman of the Committee of the Federation Council on economic policy-Andrey Kutepov, held a round table on the support measures implementation of the automotive industry development, including the increase of the automotive components production localization level.

 

The members of the Committee on economic policy Sergey Kalashnik and Alexander Pronyushkin, senators of the Russian Federation, representatives of the Ministry of industry and trade, the Ministry of transport, the Accounts Chamber of the Russian Federation, legislative and executive bodies of state power of the Federation subjects and major Russian automakers took part in the video conference.

 

This event is a continuation of the work started by senators in December last year, said Andrey Kutepov.

 

"The automotive industry is a powerful and probably the main industry in terms of innovation and technological development of the economy. The "industrial assembly" regime has solved one of the key tasks — to ensure demand thanks to the domestic car production. We have made the transition from a country that imports used cars to a country with a developed assembly cycle. Agglomerations, such as St. Petersburg, Tolyatti, Naberezhnye Chelny, Nizhny Novgorod are full of life. Investment is coming to the industry"- he said.

 

At the same time, the senator noted a number of problems that must be solved, such as the domestic technologies development, a low share of exports and weak dynamics in the automotive components production. According to the senator, it is important to develop a mechanism that equalizes localization conditions for all market members.

 

Since January 1, 2020 in order to localize critical technologies the President of the Russian Federation decided to introduce a proportional dependence of the "industrial subsidies" received by automakers on the actual level of the "point" rating for each car produced under special investment contracts.

  

The senator said, that technical regulations issues are also must to be resolved. Currently, the third package to the technical regulations of the Customs Union "on the wheeled vehicles safety" is being approved. On October 26, the Committee held a meeting on this issue. Also, he noted that the Ministry of industry and trade is not actively engaged in a dialogue with the professional community.

 

The senator said, that we require more active work from the state scientific center of the Russian Federation "NAMI", the traffic police and other departments and organizations. The Committee will keep the situation under control so that Russian market members do not lose turnovers.

 

Andrey Kutepov believes that the main tasks are related to the added value increase for all stages of the car production chain in Russia. "We want not only our cars, but also our technologies and automotive components manufacturers become global market leaders. We have the resources, personnel and scientific background to realize it"- he says.

  

The deputy Minister of industry and trade of the Russian Federation - Alexander Morozov told about current measures to support automakers and current work on localization of cars and automotive components production.

 

Since January 1, 2021 it is planned to launch a program, according to which the government will co-finance projects for the components production for cars on a grant basis of 30 percent of the total cost of investments for their implementation. It is said, that this mechanism will be implemented on the basis of the industrial development Fund. Also, the expert Council of chief engineers of the largest car manufacturers and automotive components manufacturers operating in Russia will be created.

 

Automakers representatives focused on the current problems of the industry, the lack of support measures in regions. There was announced the need to create a state strategy for the automotive components development in the long term as soon as possible.

 

"The potential of our producers is great. We must make joint efforts to encourage our producers to achieve higher localization and higher labor productivity. Another important task is to stimulate Russian exports"- said Andrey Kutepov.

 

The senator also noted that in order to solve the problem of attracting foreign producers to Russia, we must create appropriate conditions. "It concerns not only the financial aspect, but also the creation of high-quality infrastructure. If regions are active, it is already happening."

 

Moreover, the senator said, we have to think about reducing interest rates on loans in areas that are in priority for the government. It fully applies to the automotive industry and the automotive components production.

 

All these proposals will be analyzed and finalized as round table conference recommendations for the legislative and executive authorities.

 

The original article is on the website.