Vladimir Putin chaired a meeting on the development of the auto industry.Part 2
27 May 2008
Вступительное слово Председателя Правительства России В.В.Путина на совещании по вопросам развития автомобильной промышленности
27.05.2008
I would like to begin by thanking all of you for such an interested and professional nuts-and-bolts discussion on the problems of the industry and its prospects for development. As previously mentioned, the automotive industry is a key component of any developed economy. Auto manufacturing has been described, you may recall, as a primary source of budget revenue in developed economies. One job in the auto industry creates ten or eleven jobs in related industries and helps to advance the steel, chemical and other key supplier industries.
In the minutes of the meeting, we have provided for certain measures to develop the auto industry. Our next step is to draft proposals to increase the automobile fleet in Russia, improve loan and leasing mechanisms, and generally update the auto-making industry.
The State Duma should amend Article 154 of the Tax Code on the value added tax charged on used cars. This measure will be socially just and economically wise. The state cannot repeatedly attach VAT to a product that has already been sold and taxed.
I took notice of the concern expressed by the Finance and Economic Development Ministries about insurance costs and transport tax. I agree with them. We'll give separate thought to these items.
Now as regards research and development. I fully agree with you here. It must be co-financed, if not fully financed. We are simply bound to get it moving. I asked the Ministries of Economic Development, Finance and Industry and Trade to pay close attention to this. In the absence of a federal program, we should consider other measures to support the sector and sort out its prospects for the future.
Now, we must consider support for the domestic production and marketing of trucks and buses including state leasing, technical regulation, and stricter management of imports. A lot has been said about this. Very close attention must be paid to these problems.
Now let's consider the prospects for the production of flat-rolled steel used in the manufacture of automobiles. As I understand it, everybody agrees that plans should be coordinated with steelmakers but some leeway must also be left for imports. Temporary deadlines must be set for reduced customs duties on the imported metal products needed by out automobile manufacturers. The required proposals should be submitted to the Government in the established procedure.
We must then assist domestic producers in marketing both at home and in export markets. A set of appropriate mechanisms and tools exist for this purpose in global practice and we should make full use of them.
We should also revert to auto production in the Siberian and Far Eastern Districts. And if we find an appropriate formula in our negotiations with the WTO, we should extend the range of industrial assembly and production of components, units and vehicles in line with our commitments, as previously mentioned.
This is especially important in the Siberian and Far Eastern Districts. Finally, in designing, building and re-engineering federal motorways, provisions should be made for roadside services and repairs, or lay-bys. Strange as it is, our regulations do not anticipate such possibilities.
Roadworthiness certificates and technical regulations must make vehicles safe and environmentally friendly. They should not be cumbersome or corruption-prone and should help our producers to exploit their natural advantages in making and selling their vehicles.
In the course of today's meeting, associates have put forward some proposals on what you consider important for the development of the auto industry in the country. These proposals will be studied and reviewed and taken into account in a document that will be adopted today.
Thank you for your cooperation. I wish you all the best.
http://www.government.ru
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В.Путин.Вступительное слово.27.05.08.Part 1by niknikolay201 views
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