OREANDA-NEWS. March 12, 2010. In February, domestic passenger car sales rose 5% compared to December 2009, amounting to 134,800 units, according to the AEB monthly report. AvtoVAZ’s car sales were up 5% in February MoM, while GAZ Group sales declined by 64% compared to December 2009. Sales of Sollers cars remained at fairly low January levels, reported the press-centre of OTKRITIE Financial Corporation.

View: Lada remains the best-known car brand in Russia, commanding over 22% of the market. Some brand names, such as Renault, Daewoo, Chevrolet, increased the share of sales of inexpensive models. This reflects a continued shift in demand towards the lower price segment. Low sales at Sollers are attributable to consumer expectations of the inception of recycling programs for older cars. Taken as a whole, the February sales stats are insufficient to provide a fully accurate portrait of long-term car sale trends in Russia. More complete data will be available only in end of March, with the commencement of the automobile recycling program.

We view these figures as neutral for key domestic car producers.