Russia’s auto industry has entered a full state of collapse with the country’s flagship KAMAZ truck company reporting 2024 earnings down a stunning -96%. March sales at the maker of Lada (AvtoVAS) down -33%, and overall Russia car market hitting -44% year-over-year. Russian Auto Industry in Freefall, as both AvtoVAS and KAMAZ Report Stunning Declines with KAMAZ 2024 profit down -96% and LADA March sales down -33% year-over-year and total auto market sales down -44%.

Russia’s main coal producing region faces certain collapse as sanctions, mismanagement and theft lay waste to one cornerstone of the Russia economy. We’ve mentioned it in previous articles HERE, HERE and HERE and it’s only getting worse. Russia’s coal industry— a cornerstone of its energy sector, is now collapsing at break-neck speed.

Already on a negative trajectory since 2020, Russia’s National Wealth Fund, now holding only 1.9% of GDP, could be gone in six months if war expenditures don’t come to an end, according to former Russian Finance Minister Mikhail Zadornov. Russia’s National Wealth Fund (NWF), established as a financial safeguard for rainy days, is now facing imminent depletion amid ongoing economic challenges.

The price of coal on the world market continues downward, exacerbating the already catastrophic situation within the industry that comprises 7.4% of Russia’s total exports.

A combination of a rapidly slowing economy and excessively high interest rates has effectively killed the Russian auto industry, with industry leaders calling for government bailouts. Around 60% of Russia’s car dealers now face bankruptcy if government fails to step in with large scale bailouts of the industry, according to the head of the Russian Automobile Dealers Association (ROAD) Alexei Podshchekoldin. “Some will last another two or three months, someone will last up to six months.