Get the latest updates as we post them — right on your browser

. Last Updated: 07/27/2016

Business in Brief

Car Sales Could Fall 60%

Deputy Industry and Trade Minister Andrei Dementyev said Monday that car sales in Russia would fall 60 percent this year, more than the ministry's December estimate of 40 percent.

Commercial light-vehicle sales will fall 50 percent for the year even after the government buys 250,000 autos as part of its support for the sector, Dementyev said, Interfax reported. (MT)

Mechel Q1 Output Sinks

Mechel said Monday that first-quarter coking coal and steel output fell as demand from key industries dried up.

"Unfavorable market conditions and, first of all, a drop in demand in the construction and machinery industries caused reduction of output in our steel division and in all the other segments following our production chain," senior vice president Vladimir Polin said.

First-quarter coking coal production fell by 76.3 percent year on year to 1 million tons, while steam coal production declined 19 percent to 2.4 million tons. (Reuters)

$1.8Bln Submarine Order

Russia got a $1.8 billion order to build six submarines for Vietnam, Kommersant reported Monday.

The Kilo 636 subs were originally intended for Venezuela and will be built by St. Petersburg-based Admiralteyskiye Verfi, a subsidiary of the state-owned United Shipbuilding Corporation, the newspaper reported, citing two sources at state arms trader Rosoboronexport.

Rosoboronexport broke a contract with Venezuela to supply the submarines after the April 18 meeting of the South American country's president, Hugo Chavez, with U.S. President Barack Obama, Kommersant reported, without elaborating. (Bloomberg)

Shmatko Says Delays OK

Energy Minister Sergei Shmatko said Monday that the country is ready to allow utilities to delay new investment projects.

The government is not reviewing changes to a July 1 deadline to increase the volume of sales allowed on the power market to 50 percent of the total, Shmatko said. Utilities should honor commitments undertaken as part of their investment plans, he said. (Bloomberg)

Trade Surplus Down 47%

Russia's trade surplus in March contracted 47 percent compared with the previous year to $8.8 billion, the Economic Development Ministry said Monday, citing Central Bank estimates.

Exports fell by 41 percent to $23.4 billion, and imports declined 37 percent to $14.6 billion, according to the report. (Bloomberg)

For the Record

TGK-1 CEO Boris Vainzikher said the generator plans to invest 14 billion rubles ($419 million) in new capacity this year as it completes all but one investment project scheduled. (Bloomberg)

Gazprom borrowed $3 billion from Sberbank to buy a 20 percent stake in its oil arm from Eni. (Bloomberg)

Construction finished on 10.4 million square meters of residential space in the first quarter, a 2 percent increase from a year earlier, the State Statistics Service said Monday. (Bloomberg)