Russia’s Auto Market continues to collapse, with June truck sales down -66%
Russia’s domestic auto industry is showing sharp signs of contraction, with new data revealing a steep decline in vehicle sales across all segments—a worrying indicator of deepening economic distress.
According to the Ministry of Industry and Trade, sales of new passenger cars and light commercial vehicles (LCVs) in June 2025 plummeted by 27.5% compared to the same month last year, totaling just 96,744 units. Passenger cars alone saw a 27% year-on-year drop to 89,599 units, while LCV sales fell even more sharply—down 32% to 7,145. Compared to May, LCVs also declined by 7%, while passenger cars edged down 1%.
The collapse is even more pronounced in the heavy vehicle sector. Truck sales for June were down 66% year-on-year to 3,556 units, with bus sales falling 58% to 663 units. Despite a modest month-on-month rebound in truck sales (+3%), the overall figures point to a market in retreat.
Cumulatively, the first half of 2025 paints an equally bleak picture. From January to June, total sales of passenger cars and LCVs fell by 25.7% year-on-year to 575,521 units. Passenger car sales alone fell 26% to 526,698 units. LCV sales reached 48,823, a 19% decline. Truck and bus sales for the same period were both down 54%, amounting to just 27,032 and 4,925 units, respectively.
The total number of new vehicles sold in Russia in the first half of the year amounted to 607,478—a staggering 28% decline compared to the same period in 2024. Even domestically produced vehicles, which have been insulated to some degree by import restrictions and subsidies, saw sales fall 11%, barely exceeding 333,000 units.
While the Ministry acknowledged the drop in domestic production, it offered no explanation for the broader collapse.
But industry experts point to a combination of factors: weakening consumer demand, limited access to foreign components, inflationary pressures, and the long-term consequences of sanctions and economic isolation.
Russia’s once-resilient auto sector—long a bellwether of industrial health and consumer confidence—is now contracting rapidly. Even amid official optimism in other parts of the economy, the auto market’s freefall is difficult to ignore. Consumers are delaying purchases, production lines are slowing, and dealerships are facing growing inventories with fewer buyers.
For an economy that once depended on domestic consumption to cushion external shocks, the latest figures are yet another sign that Russia’s internal market is eroding—month by month, vehicle by vehicle.
