MOSCOW / RankWire.AI / – Russia has set a goal to produce approximately 2.8 million vehicles annually by 2035 as part of its revised automotive industry strategy. First Deputy Prime Minister Denis Manturov announced this target on Aug. 31 during a sector-focused meeting. The plan includes vehicles for both local consumers and international markets. Russia also aims to ensure that locally made vehicles capture at least 80% of its new-vehicle market by 2035.
The Russian government approved the updated industry strategy on Aug. 24, extending the national framework through 2035. At the end of 2025, Russia’s vehicle manufacturing capacity was roughly 3.3 million units per year. That year, factories produced around 800,000 vehicles. During 2024 and 2025, capacity utilization remained at 25% for passenger cars, 41% for light commercial vehicles, 35% for trucks, and 43% for buses.
Under the projected scenario, Russia would produce 2.5 million passenger cars annually by 2035. Production would also include about 170,000 light commercial vehicles, 110,000 trucks, and 30,000 buses. The strategy envisions passenger car output across four or five vehicle platforms, while light commercial vehicles would be produced on one or two platforms. The total new-vehicle market in Russia is expected to reach around 3.2 million units in 2035, with imports comprising up to 20% of that total.
Vehicle production scope spans multiple segments
The document also outlines a lower-volume base scenario. This projection estimates annual vehicle output at about 1.69 million units by 2035. It anticipates the new-vehicle market to be roughly 2.2 million units that same year. For 2030, the target scenario foresees a market of around 2.4 million vehicles, whereas the base scenario projects approximately 2 million units.
Russia’s automotive plan includes goals for powertrain development, automated driving, and digital vehicle systems. Internal-combustion engine models are expected to account for between 67% and 83% of production in 2035, depending on the segment. Electric and hybrid passenger vehicles are targeted to make up at least 25% of the domestic new passenger-car market. The framework also plans for the production of about 150,000 vehicles with Level 4 automation or higher by 2035.
Manufacturing capacity exceeds current output levels
Passenger-car capacity was near 2.8 million units in 2025, while actual production was around 700,000 cars. Light commercial vehicle capacity was about 300,000 units, with factory output close to 80,000. Truck capacity reached roughly 130,000 units, and buses about 30,000. In 2025, Russian factories also produced approximately 4,400 vehicles with electric powertrains, slightly higher than the 4,200 units produced in the previous year.
The strategy promotes increased use of standardized components and technologies across vehicle platforms. It sets benchmarks for localization and technological independence for domestically manufactured vehicles. Covering passenger cars, commercial vehicles, trucks, buses, powertrains, autonomous systems, and vehicle software, the plan combines an annual production target of 2.8 million vehicles with an 80% share for the domestic market. An implementation action plan is required to execute this framework.