Markets News

UPDATE 1-Russia's September new car sales rise 3.4% y/y - AEB

(Adds details, quotes, context)

MOSCOW, Oct 6 (Reuters) - Sales of new cars in Russia rose by 3.4% in September year on year to 154,409 vehicles after a 0.5% decline in the previous month, the Association of European Businesses (AEB) said on Tuesday.

The third quarter fall was 13.9% year on year, but the AEB was optimistic the overall sales decline in 2020 would be less severe than feared as Russian businesses face fewer restrictions from the coronavirus pandemic than earlier this year.

“Traditionally, September is a good month for the automotive business,” Thomas Staertzel, Chairman of the AEB Automobile Manufacturers Committee, said in a statement, adding that deferred purchase demand and the weakening rouble had helped sales.

Staertzel said the 2020 forecast was a 13.5% year-on-year decrease, with expectations for 1.5 million units to be sold.

In July, the AEB had expected a 23.9% reduction in sales in 2020, to 1.3 million units.

Reporting by Gleb Stolyarov and Maxim Rodionov; Writing by Alexander Marrow; editing by Ed Osmond