MOSCOW (Reuters) -The Russian government expects budget revenues from car scrappage fees to rise sharply this year and next, even though vehicle sales are in steep decline, a document reviewed by Reuters shows.

The draft budget for 2026 forecasts revenues from scrappage fees of almost 1.65 trillion roubles ($19.71 billion), a rise of 46.7% from the 1.12 trillion roubles forecast for 2025.

The government has so far collected a small fraction of that total this year, at 267 billion roubles as of September 23, but said that future revenue increases will be driven by annual indexation of the fee rates, and a recovery in vehicle production.

The Russian Finance Ministry has already said revenues from car scrappage fees will fall well short of budgeted levels this year, and consequently that s

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