News

In Russia in September 2008 industrial production growth rates decreased in comparison with previous months in the sphere of production of tractors, agricultural, municipal, road-building, weight-handling vehicles and elevators as a result of evident influence of the world crisis on Russian economy. However, in comparison with the same period in 2007, almost all factors of industrial production are growing inertially. Despite this, demand for all vehicles produced by enterprises covered by the  Machine Building Complex Sectors Committee is dynamically decreasing. As for tractors, at sites of enterprises there have remained 1745 tractors, that is 10,8% of total amount produced. A rather significant part of unsold vehicles (7 to 23,1%) includes trailed tools for soil treatment, crop sowing in connection with unbalanced vehicle sales structure due to seasonal demand. Due to steep decline of customers' paying capacity in the period considered a big amount of elevators (7,7% (1363 items) of the whole amount produced), municipal vehicles (3,4% (324 items)) and some other vehicles and equipment have not been sold. The existing situation has significantly worsened financial and economical activity of enterprises which produce these kinds of equipment. According to analytics, by the end of the year a predicted production drop dynamics will have been aggravated by negative consequences of the global financial crisis which has affected Russian economy. In its turn, it will negatively influence a modernization rate of Russian machine-building complex which has been increasing due to innovational enthusiasm of leading machine-building companies which have been upgrading production at their own expense. According to many market players, it is mainly necessary to provide paying capacity of major consumers by means of living leasing, factoring, and standard mechanisms which are not used in full volume now in order to improve sales of produced domestic vehicles.

Since 20 October till 20 November this year RF government and specialized ministries analyzed the existing situation thoroughly and took a number of decisions to minimize negative consequences of the global financial crisis in Rissian economy, held meetings with industrial and entrepreneur representatives, domestic company and bank leaders, all of which allowed deeper assessment of problems which the real economy sector faced and finding hot buttons. The Engineering Workers Guild of Russia, the committee and its members took active part in preparation of the complex operating plan to support the real economy sector of Russia and its key industries.