MOSCOW / RankWire.AI / – Russia plans to raise annual vehicle production to about 2.8 million units by 2035 under its updated automotive industry strategy. First Deputy Prime Minister Denis Manturov presented the target on Aug. 31 during a meeting on the sector’s development. The figure covers vehicles for Russia’s domestic market and exports. The plan also sets an 80% target for locally produced vehicles in the country’s new-vehicle market by 2035.
The Russian government approved the revised automotive strategy on Aug. 24, extending the industry framework through 2035. Russia had about 3.3 million units of annual vehicle production capacity at the end of 2025. Actual production that year stood near 800,000 vehicles. Capacity use averaged 25% for passenger cars and 41% for light commercial vehicles during 2024 and 2025. The rates reached 35% for trucks and 43% for buses.
The target scenario sets 2035 production at 2.5 million passenger cars and about 170,000 light commercial vehicles. It also calls for 110,000 trucks and 30,000 buses. The plan assigns passenger-car production to four or five vehicle platforms, while light commercial vehicles would use one or two. The same scenario sets the total new-vehicle market at about 3.2 million units in 2035. Imports can account for up to 20% of that market.
Production targets span all vehicle segments
The strategy also includes a base scenario with lower production and market figures. Under that scenario, annual vehicle production reaches about 1.69 million units in 2035. The base scenario places the new-vehicle market at about 2.2 million units that year. For 2030, the target scenario puts the new-vehicle market at roughly 2.4 million units. The base scenario sets the corresponding 2030 market level at approximately 2 million vehicles across all segments.
Powertrain and technology targets form another major part of the updated framework. Internal-combustion vehicles should account for 67% to 83% of production in 2035, depending on the vehicle segment. Electric and hybrid passenger cars should reach at least 25% of Russia’s domestic new passenger-car market by then. The strategy also targets production of about 150,000 highly automated vehicles with Level 4 autonomy or higher in 2035. Driver-assistance and digital vehicle systems also feature in the document.
Capacity and localization remain central benchmarks
Russia’s existing manufacturing base remains much larger than its recent annual production. Passenger-car capacity stood at about 2.8 million units in 2025, while total passenger-car output was around 700,000. Light commercial vehicle capacity reached about 300,000 units, compared with production near 80,000. Existing truck capacity totaled about 130,000 units, while bus capacity stood near 30,000. Russian factories also produced about 4,400 vehicles with electric powertrains in 2025, up from 4,200 in 2024.
The strategy calls for wider use of standardized components and technologies across vehicle platforms through 2035. It also sets higher localization and technological independence targets for domestically produced vehicles. The framework covers passenger cars, commercial vehicles, trucks, buses, powertrains, autonomous driving systems and digital vehicle technology. Its target scenario combines the 2.8 million annual production goal with the 80% domestic-market share objective. An implementation action plan is required under the order that approved the updated strategy.