Friday, August 14, 2009
Russia set for scrappage scheme
Russia is set to introduce its own car scrappage scheme following the success of similar programmes in the US and Europe in boosting car sales.
The Russian Industry and Trade Ministry said the scheme could be introduced in January next year.
Russian media reports say that a 50,000 ruble ($1,567; £942) incentive will be given to motorists who trade in their old car and buy a new one.
Carmakers have been hit particularly hard by the economic downturn.
"The car has to be running, it should be registered with the traffic police and it should have all of the necessary documents," said the ministry's automotive industry director Alexei Rakhmanov.
To qualify for the scheme, a car must be at least 10 years old, the reports say.
Last week, the US boosted funds in its own "cash for clunkers" scheme after it proved popular with car owners.
DATED: 14.08.09
FEED: AW
