OREANDA-NEWS. July 23, 2009. FAS Russia and the Russian Ministry of Industry and Commerce developed and approved by a joint order the criteria for state support programmes for car manufacturing. State support can be granted for, reported the press-centre of FAS Russia:

1. Car manufacturing under the "knock-down" agreements:

- Full-cycle car production, including welding, painting and body assembling;

- Car manufacturing by the "semi-knock-down" method, provided that by the date when the car model were included in the Lists, a manufacturer is involved in full-cycle process planning. Car models manufactured by the "semi-knock-down" method without transition to the full-cycle manufacturing are not included in the Lists.

2. Car manufacturing by Russian legal entities, operating outside the "knock-down" agreements:

if they carry out welding, painting and body assembling operations and meet one of the following conditions:

а) the Russian component of the production costs of a car model is no less than 50%;

b) the manufacturer has a programme for localising car components, approved by the Ministry of Industry and Commerce, which specifies the car components and the schedule of their localisation.

The state is not going to support the manufacturers operating exclusively in the "semi-knock-down" regime. On the other hand, Russian manufacturers that have not signed a "knock-down" agreement but who have full-fledged production in Russia, can also expect receiving state support. Therefore, FAS Russia and the Ministry created transparent "rules of the game", equal for all market participants.

Those measures will stabilise the situation in the industry and have positive effect for development of Russian car manufacturers.