GO
Loading...

Russia may ban import of cars if West applies new sanctions: Paper

Russia may tighten retaliatory sanctions against Western nations to include a ban on imports of cars, among other things, if the United States and the European Union impose additional sanctions on Moscow, Vedomosti daily newspaper said on Monday.

Following Russia's stand off over Ukraine, Western nations imposed sanctions on Moscow including on its financial and energy sectors, and put dozens of Russians close to President Vladimir Putin on a sanctions list.

Read MoreTesla ups Model S warranty to eight years

Imported vehicles accounted for 27 percent of sales of passenger cars in the first half of 2014, for trucks imports accounted for 46 percent, and 13 percent for buses, according to Vedomosti.

Russian President Vladimir Putin on Aug. 5, 2014.
Alexey Druzhinin | AFP | Getty Images
Russian President Vladimir Putin on Aug. 5, 2014.

Russia, which denies allegations it is arming separatist rebels in eastern Ukraine, may fully or partly ban imports of cars, the Vedomosti newspaper said, citing sources.

The new ban would not apply to foreign automakers' production inside Russia, the paper said. Ford, Volkswagen, Ford Renault, Toyota, and Hyundai Motor all have production facilities inside Russia.

Read MoreUsed car prices take a tumble

The paper added that proposals for new measures had already been sent to Putin for consideration but that no decision had been taken to prepare any new sanctions yet.

Source: General Motors

New trade restrictions are possible in the event Western nations impose additional sanctions on Moscow, the paper added.

Russia has imposed a ban on certain agricultural imports from the European Union, the United States, Australia, Canada and Norway.

Read MorePriciest cars at Pebble Beach Concours

It has also said the government could introduce protective measures in aircraft, shipbuilding and automotive industries

By Reuters

Contact Autos

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    To learn more about how we use your information,
    please read our Privacy Policy.
    › Learn More