While it is difficult to know exactly the state of the Russian economy, given the highly propagandized media reporting on all sides regarding Russia, there are data points which accidentally shed a bit of light on the topic.
One such data point is the collapse in car sales within Russia since the start of the Russo-Ukrainian War in February.
As for September, 46,698 cars were sold in the country in the first autumn month. This is a 59.6% decrease compared to September 2021. At the same time, compared with August, July and June, car sales in the domestic market increased in September. Then, 41,698, 32,412 and 27,761 cars were sold in Russia, respectively.
A 60% year on year decrease in car sales is what a market collapse looks like. Particularly when the decrease extends to domestically manufactured cars as well.
As for individual models, the first place among the bestsellers according to the results of the first nine months was taken by Lada Granta. From the first to the third quarter of the year, Russians bought 54,929 of these cars. For example, a year ago, 90,986 such cars were sold on our market. In second place is Lada Vesta, which sold 26,668 copies against 82,860 cars a year earlier.
There is no economic scenario where an abrupt cessation of Russian consumer purchasing cars, and Russian cars in particular, shows strength within the Russian economy.
The Russian people are paying a hefty price for Putin’s war.