"Noble Goal": Putin Explains Increase in Recycling Fee

Russian President Called the Measure Temporary

The increase in the recycling fee in Russia is a temporary measure aimed at supporting technological development and the domestic automotive industry. This was stated by President Vladimir Putin during theDirect Line on December 19, 2025.

The head of state emphasized that the recycling fee primarily concerns owners of expensive cars living in large cities. According to him, the decision is related to the Ministry of Finance's attempt to obtain additional income "for a noble goal - the technological development of the country."

Putin noted that the increase in the recycling fee indirectly contributes to the development of the domestic automotive industry: the increase in prices for imported cars makes the choice of Russian models more attractive.

It would be strange if I said, buy a foreign car. But I hope that this measure will not be eternal either, and the choice for our citizens will still be restored, it will be wider.
Vladimir Putin, President of Russia

On December 1, 2025, new rules for calculating the recycling fee came into force in Russia. Now its size depends not only on the engine volume, but also on its power. The preferential rate for individuals is maintained only for cars up to 160 horsepower, and more powerful cars are taxed at commercial rates. The reform also affected electric vehicles and hybrids - the total power of the entire power plant is taken into account for them.

According to the government's plan, the new rules should stimulate local car production, making it more profitable than direct imports. This is part of a strategy to reduce dependence on foreign supplies and encourage investment in Russian assembly facilities.

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